The Hindu : Karnataka News : Loans sought at 4 p.c. interest

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Karnataka

Karnataka

Loans sought at 4 p.c. interest

Staff Correspondent

DAVANGERE: The Bharatiya Raitha Okkuta has urged the Governor to make provisions for loan assistance to farmers at four per cent interest rate and to ensure continuous power supply to irrigation pumpsets free of cost.

Talking to reporters here on Friday, C. Narasimhappa, general secretary of the okkuta, said that the Tamil Nadu Government was spending more than Rs. 3,300 crore every year on providing power free of cost to farmers of that State, and urged the Karnataka Government to follow the same.

“Karnataka may not require such a huge amount as Tamil Nadu for the purpose. Around Rs. 1600 crore will be enough to provide free power to IP sets throughout the year,” he said.

Most of the farmers in the State were in distress owing to natural calamities such as drought and floods, and adequate compensation had not been given to them.

Therefore, it was necessary to provide loans at nominal interest to farmers who did not have money even to buy seeds and fertilizers.

By providing financial assistance at a nominal rate of interest to farmers, the Government could prevent farmers from approaching moneylenders, who charged high rates of interest, he said.

He termed the Union Budget election-oriented and populist.

H.R. Lingaraj, office-bearer of the okkuta, was present.

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