Madhya Pradesh Farmers Get Relief: Repay Seasonal Loans Once a Year

In the Krishak Kalyan year, the Madhya Pradesh government is providing major relief to farmers who take short-term loans from primary agricultural credit cooperative societies for Kharif and Rabi crops. Farmers will no longer have to repay loans twice a year; instead, they can make a single payment in May or June.

Seasonal Loan Repayment

Currently, farmers are required to repay Rabi loans in June and Kharif loans in March. For the 2025 Kharif season, the last repayment date was 28 March, but due to delayed wheat procurement, farmers requested an extension.

Government Plan Under CM Instructions

Chief Minister Dr. Mohan Yadav directed the cooperation and finance departments to implement a scheme allowing farmers to repay both seasonal loans in a single installment. Notably, 91% of farmers have already repaid Kharif loans.

Loan Distribution and Support

To reduce farming costs, the government provides short-term crop loans of up to ₹3 lakh without interest through cooperative societies. In the financial year 2024-25, approximately 35 lakh farmers received ₹21,232 crore in short-term crop loans.

Importance of Timely Payment

Delayed repayment can increase financial burden for farmers, including interest and the risk of being marked as defaulters, which may affect eligibility for future interest-free loans. The government's initiative ensures farmers can manage repayments without financial stress.