Nagarkurnool: District Collector Hemanth Keshav Patil has directed bank officials to extend full support to eligible farmers affected by drought by restructuring their agricultural loans and providing financial relief. He also instructed officials to identify drought severity at the mandal level and eligible farmers village-wise to ensure that all deserving farmers benefit from the loan restructuring process.
A special District Consultative Committee (DCC) meeting was held on Tuesday at the Video Conference Meeting Hall of the Integrated District Offices Complex in Nagarkurnool under the chairmanship of District Collector Hemanth Keshav Patil. The meeting focused on providing financial relief to drought-affected farmers, restructuring agricultural loans and sanctioning fresh crop loans, following the declaration of drought conditions in 13 mandals across the district. The Collector reviewed the implementation of these measures with bank officials in the presence of Additional Collectors B. Chennayya and Devasahayam.
Speaking on the occasion, the Collector said that eligible farmers facing financial difficulties due to crop losses amid drought conditions should be provided relief through agricultural loan restructuring. He directed banks to coordinate with government departments for the development of agriculture and allied sectors and complete the loan restructuring process within the stipulated timeframe.
The Collector instructed bank officials to provide a 12-month moratorium to eligible farmers in the severely drought-affected mandals of Urkonda, Veldanda, Vangur, Charagonda, Amrabad, Padara, Balmoor, Lingala, Peddakothapally and Kodair. He said the repayment period of eligible agricultural loans should be extended up to a maximum of 60 months as per the prescribed guidelines.
In the partially drought-affected mandals, including Kalwakurthy, Achampet and Bijinapally, along with three other mandals, eligible farmers should be provided a 12-month moratorium, while the repayment period should be extended up to 36 months. He further instructed banks to convert eligible short-term crop loans, along with accrued interest, into medium-term loans as per the guidelines. Bank officials were also directed to ensure repayment according to the prescribed schedule after the moratorium period.
Officials informed the meeting that 65,893 farmers across the district had obtained crop loans worth Rs. 1,125.10 crore through banks, while another 27,297 farmers had received agricultural term loans amounting to Rs. 653.41 crore. The Collector directed officials to ensure that all eligible farmers receive the benefits of loan restructuring in accordance with the applicable rules.
The Collector observed that reduced crop yields and a shortage of irrigation water due to drought conditions had pushed farmers into financial difficulties. He stressed that eligible farmers must receive loan restructuring benefits in accordance with the guidelines issued by the Reserve Bank of India (RBI) and the State Level Bankers’ Committee (SLBC).
Apart from restructuring existing loans, the Collector instructed banks to sanction fresh crop loans and working capital loans in a timely manner to help farmers take up cultivation for the next agricultural season. He emphasised that banks should adopt a humanitarian approach towards drought-affected farmers and must not subject them to any pressure, threats or harassment. He specifically warned against forcibly recovering loans from eligible farmers during the relief period.
The Collector said mandals had been identified based on the prevailing drought conditions and the severity of crop losses. He directed the concerned departments to work in coordination to provide necessary relief measures to farmers in areas that had suffered extensive crop damage.
Agriculture department officials were instructed to coordinate with banks and identify eligible farmers and their loan accounts village-wise and mandal-wise. He also suggested creating widespread awareness among farmers about loan restructuring through Rythu Vedikas, village meetings and financial literacy camps.
The Collector further directed officials to conduct coordination meetings with bank branches at the mandal level within the next seven days and submit reports on the progress of loan restructuring. He stressed that all departments and banking institutions should work together to provide financial security to farmers during the drought situation.
District Lead Bank Manager Chandrasekhar, RBI AGM Pradeep Chandra, NABARD DDM Chandu, District Agriculture Officer Yashwanth Rao, representatives of various banks and officials from different departments attended the meeting.
