The State government has finally resolved to distribute the Yasangi (Rabi season) instalment of ₹5,000 an acre investment support to farmers under the Rythu Bandhu scheme from December 27 ending the suspense over the release of funds for the scheme.
The government has directed the Finance Department to release ₹7,300 crore for crediting the assured investment support into the accounts of over 59 lakh farmers. Chief Minister K. Chandrasekhar Rao has directed the officials concerned to ensure that no eligible farmer is left out of the scheme.
Investment support should be extended to all farmers irrespective of the size of their holdings and the assured sum should be credited to the respective accounts within 10 days, up to January 7. The Chief Minister announced the decision to this effect at a high-level meeting of Finance and Agriculture departments officials on Monday afternoon. The meeting discussed about the modalities that should be followed during the distribution of the financial support and finalised an action plan in this regard.
The announcement came as a major relief to scores of farmers as the season for Rabi cropping had already started. The government had credited the Kharif instalment of Rythu Bandhu into the accounts of 59.3 lakh farmers in June second week following the instructions of the Chief Minister.
Farmers were assured at that time that the Yasangi instalment of Rythu Bandhu would be credited into their accounts around Diwali. The process was delayed on account of Dubbak bypoll and other administrative reasons. Moreover, the government had to mobilise resources required for the scheme through open market borrowings and other instruments abiding by the FRBM (Fiscal Responsibility and Budget Management Act) norms.
Accordingly, the government has mobilised State development loan amounting to ₹,500 crore since last month while it is likely to utilise the close to ₹2,400 crore that would be released by the Centre following the acceptance of Option 1 offered under Atma Nirbhar Abhiyan package. The State has been assured ₹2,380 crore through special borrowing window and also permission to raise an additional ₹5,017 crore through borrowings following its decision to accept Option-1 of the package announced by the Centre.
