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Raitara Sala Manna 2019 – Karnataka Loan Waiver Scheme

Raitara Sala Manna 2019

Raitara Sala Manna 2019 – Karnataka Loan Waiver Scheme

Raitara Salla Manna was introduced by the State Government of Karnataka to address the needs of the farmers whose loans remain in default. On a more precise note, it seeks to waive the loans availed by agricultural labourers between 1/4/2009 and 31/12/2017. Like most of the schemes connected with this purpose, Raitara Sala Manna would cater to the small and marginal farmers.

Farmer Loan Crisis

India’s civilization boasts of a rich agrarian heritage, but the current scenario is much against its stakes. The profession of the highest pedestal has heralded into a loan crisis, leading to an outbreak of farmer suicides across the country. A report of the NSSO (National Sample Survey Organization) reveals that more than half of the farm-households in India are reeling in debt, which predominantly includes the southern inhabitants. The Indian Central and State Governments has, over the last few years, rolled out a series of loan waiver schemes so as to provide relief to these communities who are in dire need of a solution, be it on the shorter or longer course of time. Raitara Sala Manna is an initiative of such kind.


The Karnataka Government has extended this scheme to the farmers of the State who have availed an agricultural credit of up to Rs. 2 lakhs between 1/4/2009 and 31/12/2017. A farmer could be denied of such provisions on account of the following grounds:

  • The farmer hasn’t remitted his taxes for the last three years.
  • The loan has been obtained from any nationalized bank or any cooperative financial institution.
  • The farmer’s family includes members who are associated with any government offices.
  • The farmer’s family includes members who are associated with the cooperative sector.
  • The borrower has elected representatives in the village.
  • The farmer has obtained the loan against any property, automobile or jewellery.

Hike in Statutory Rates

To support the waiver by collecting additional funds, the State Government proposes to enact the following measures:

  • Raise excise duty.
  • Increase the rate of tax for power consumption from 6% to 9%.
  • Increase the rates of petrol and diesel.

The waiver is likely to cost the State Government an exchequer of INR 34,000 crore.

Documents Required for Application

While the Government is yet to brief on the application requisites, the following documents must be furnished by the farmers:

  • Proof of residence
  • Aadhar Card
  • Proof of credit of the loan
  • Details of bank account
  • Farmer registration documents

Coverage Extended to Non-Defaulters

Apart from the waiver of farmer loans, the scheme proposes to grant a sum of INR 25,000 as encouragement incentives for those farmers who have been prompt in their loan repayments. This benefit would be valid even if a portion of their loans remain unpaid.

Recorded details suggest that about 17.32 lakh agricultural farmers would benefit from the waiver, while 27.67 lakh agricultural labourers would be receiving incentives for prompt repayments.

Selected Beneficiaries

The Karnataka Government has released the list of selected beneficiaries for the scheme. The farmers may check these details by visiting the Karnataka Government website for crop loan waiver. The following is a mini-procedure through which the user may verify the list of selected beneficiaries:

Step 1 – the applicant may initiate the proceedings by visiting the official website of the Karnataka Government meant for this purpose.

Step 2 – in the home page, the user may choose the option “Citizen” among the various options.

Option as Citizen
Option as Citizen

Step 3 – The users would be provided with the options as depicted in the picture below. The appropriate option must be selected, after which the status could be verified after a few basic formalities, which would differ according to the user type.

Options Available
Options Available