Maharashtra Considers Expanding Farm Loan Waiver To 5.75 Lakh More Farmers

The Maharashtra government is evaluating a proposal to widen the coverage of its recently approved farm loan waiver scheme, according to The Indian Express report. The move aims to include around 5.75 lakh farmers who were excluded from earlier schemes announced in 2017 and 2019.

Chief Minister Devendra Fadnavis has directed the Agriculture Department to prepare a detailed plan. This development could increase the financial burden on the state beyond the existing allocation.

Proposal To Expand Scheme Coverage

The state government is reviewing the inclusion of farmers who did not benefit from previous loan waiver programmes. These include schemes rolled out in 2017 and 2019 that left out a section of eligible borrowers.

The expansion is being considered under the Punyashlok Ahilyadevi Holkar Shetkari Karjmukti Yojana 2026 framework. Officials have been tasked with preparing a proposal to assess feasibility and implementation.

Financial Implications for The State

The inclusion of additional beneficiaries is expected to increase the fiscal burden on the state exchequer. The Agriculture Department has estimated an additional cost of ₹1,400 crore for covering the 5.75 lakh farmers.

This would be over and above the existing outlay of ₹36,585 crore already approved under the scheme. The overall financial impact is being evaluated before any final decision is taken.

Existing Scheme Details and Coverage

The scheme was approved by the state Cabinet on June 2, 2026, with a total outlay of ₹36,585 crore. It is expected to benefit around 55.72 lakh farmers across the state.

Crop loans availed between April 1, 2019, and March 31, 2025, are eligible for consideration. Farmers with arrears as of September 30, 2025, can receive a waiver of up to ₹2 lakh under the scheme.

Eligibility Criteria and Exclusions

The scheme does not impose any landholding ceiling, allowing broader participation among farmers. It also includes certain beneficiaries of the earlier Mahatma Jyotirao Phule Shetkari Karjmukti Yojana and those with restructured loans.

However, salaried individuals earning more than ₹25,000 per month and income-tax payers are excluded. Pensioners earning above ₹25,000 monthly, elected representatives, and government employees are also not eligible.

Read More: Maharashtra Farm Loan Waiver Scheme Enters Final Stage.

Track the stock market in Hindi. Visit Angel One News for the latest market trends, insights, and share market news in Hindi.

Conclusion

The Maharashtra government’s consideration to expand the loan waiver scheme reflects an effort to address gaps in earlier policy coverage. Including 5.75 lakh additional farmers could extend the reach of financial relief measures.

However, the proposal would also increase the fiscal burden beyond the current allocation. The decision will depend on the state’s assessment of financial capacity and policy priorities.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.