Govt's loan waiver scheme praised by all, says AP Deputy Chief Minister

Rajahmundry: Andhra Pradesh Deputy Chief Minister N Chinna Rajappa said the government's loan waiver scheme for farm sector and women self-help groups has been appreciated by people in the state.

The promises made by state Chief Minister N Chandrababu Naidu during the elections earlier would be fulfilled, he assured while talking to reporters on Wednesday.

"The loan waiver scheme has been appreciated by all sections of people in the state," he claimed.

The state government had on Monday announced that it would waive farm loans of up to Rs 1.5 lakh per family, a move that is likely to impose a financial burden of Rs 35,000 crore on the cash-starved state exchequer.

In addition, the government also decided to write-off loans amounting to Rs 7,600 crore given to women self-help groups (SHG). Another Rs 300 crore loans given to weavers, Scheduled Castes and other small artisans, too, would be waived. Cut-off date for the loan waiver would be March 31, 2014.

This was a first initiative of its kind in the country where farmers' loans worth Rs 1.5 lakh were being waived by the government, Rajappa claimed.

He said steps were on to set up a capital city for Andhra Pradesh and for the selection of the place for it, infrastructural facilities to meet the needs of the people and other things were being considered.

He also said that the government is taking steps to develop East Godavari District as a tourism hub and preparing a comprehensive plan for the purpose. The employment opportunities will increase in the district after the coming up of a hardware park in Kakinada, he expressed.

The state Cabinet has also taken a decision to set up a LNG terminal at Kakinada and a petroleum university in Rajahmundry, he mentioned.

As a part of police reforms, the vacant posts in the Home department will be filled at the earliest, the state Home Minister said.