Tamil Nadu expands crop loan waiver to 6,220 crore for farmers

Tamil Nadu Chief Minister C Joseph Vijay on August 17, 2026, announced a significant expansion of the state's cooperative bank crop loan waiver scheme in the Legislative Assembly, increasing the total financial package to 6,220 crore to benefit 13.34 lakh farmers. The move, which marks the 100-day milestone of his government, introduces a revised waiver structure offering greater relief to a specific segment of borrowers.

Under the revised framework announced on Monday, farmers with cooperative bank crop loans up to 75,000 will receive a complete waiver. For those with loans between 75,000 and 1 lakh, the government will now provide a flat waiver of 75,000. Borrowers with loans exceeding 1 lakh will continue to receive a maximum waiver of 35,000. The latest addition to the scheme is expected to benefit approximately 2,38,264 farmers in the 75,000-to-1-lakh bracket, who will receive an additional waiver of up to 40,000 over previous relief. This expansion adds 953.06 crore to the state's financial outlay.

Chief Minister Vijay presented the decision through a suo motu statement, stating it followed sustained representations from farmers' associations across the state. He framed...