AP Assembly passes farmers'' credit moratorium Bill

By Our Economy Bureau | 22 Jun 2004

Hyderabad: The state assembly on Monday adopted the AP Farmers Agricultural Debts (Moratorium) Bill amid protest from the members of the opposition Telugu Desam Party (TDP). The legislation provides for declaration of a moratorium on farm-related debts in the State for a period of six months.

Introducing the bill in the assembly, the minister for revenue, relief and rehabilitation, Dharmana Prasada Rao, said that the farmers in the State have lost their crops and incurred heavy losses on account of successive droughts.

It had also come to the notice of the government that moneylenders in the rural areas were resorting to harassment of farmers forcing them to resort to the extreme step of committing suicide.

Hence, the government had decided to declare a moratorium on farm-related loans. The bill seeks to give effect to the government''s decision in this regard.