Restrictions on zero percent loan to be eased

Mangaluru, July 14, 2021: State government has initiated the process of removing the restriction on providing zero percent interest loans to Income Taxpayers and pensioners.

Cooperation Minister S T Somashekhar gave details about this during his visit to Mangaluru on Wednesday.

He was in Mangaluru to lay foundation stone for the new building of the fruits and vegetable market at APMC premises in Bykampady.

“We have set a target of ₹ 20,810 crores to the 21 DCC banks to provide loans to the farmers at zero percent interest. Puttur MLA (Sanjeeva Matandoor) had brought to our notice that the Income Taxpayers and pensioners were not provided a loan at zero percent interest. We spoke to the Chief Minister about removing this restriction,” he said.

“The proposal has been sent to the finance department. Once we get the green signal from the finance department even those who pay IT and get pension will be able to get the loan at zero percent interest,” he said.

Somashekhar said that a meeting of DCC and Apex Bank heads (Chairpersons and MDs) will be held shortly to discuss waiving the loan of those borrowers who died due to pandemic.

“We have collected the details of the 10,140 borrowers who died during the Pandemic. There is a need for ₹ 81 crores if their loans have to be waived off. We have called the meeting of the heads of DCC and Apex Bank to discuss this,” he added.