Tamil Nadu expands crop loan waiver scheme and extends eligibility period
The state government has sanctioned an additional Rs 2,842.77 crore to implement the restructured relief programme for farmers.
The Tamil Nadu government has restructured its crop loan waiver scheme and extended the eligibility period by one month, according to The Hindu. The revised scheme covers loans obtained by farmers up to March 31, 2026, whereas the previous period ended on February 28, 2026.
Under the new rules, farmers who obtained crop loans of up to Rs 75,000 from cooperative institutions will receive a full waiver. Those who borrowed more than Rs 75,000 will be eligible for a flat waiver of Rs 75,000.
The Cooperation, Food and Consumer Protection Department issued a Government Order for the expansion. The state has sanctioned an additional Rs 2,842.77 crore for the scheme, which includes Rs 2,562.774 crore for principal and Rs 280 crore for interest.
The total estimated expenditure for the revised scheme is Rs 9,062.83 crore, with Rs 6,220.056 crore already released. The government estimates that approximately 13.25 lakh farmers will qualify for the relief.
The expanded programme also provides interest-related reimbursements and relief for 10,810 farmers who had already repaid their loans in full. It also covers eligible loans for pensioners receiving less than Rs 10,000 a month and cases involving multiple loans by the same family.