AMARAVATI: For the second consecutive year, Chief Minister YS Jagan Mohan Reddy on Tuesday deposited Rs 370 crore to 3.7 lakh small traders, towards interest-free loans, under Jagananna Thodu scheme.
In Pictures: AP CM YS Jagan Launches Jagananna Thodu Scheme Today
Speaking on this occasion, the Chief Minister said that the small and petty vendors, artisans needn’t approach private parties for loans and burden their lives by paying heavy interest, as they can take loans from banks under Jagananna Thodu scheme to cater to their working capital. Although 9.05 lakh beneficiaries were identified for the scheme, in the phase-1, only Rs 535 crores was disbursed by the banks to 5.35 lakh beneficiaries, despite the government offering to pay the interest. As these vendors come under the unorganized sector, the banks don’t provide loans and they end up approaching private parties, take loans at high-interest rates to run their businesses, and often fall into debts.
In order to resolve this, the State government has decided to extend financial assistance to the remaining 3.7 lakh beneficiaries through Sthreenidhi Credit Cooperative federation and APCOB covering all the eligible beneficiaries by sanctioning loans in rural and urban areas, said the Chief Minister adding that a total of Rs.49.77 crore is being borne by the Government under this scheme towards paying interest. He said that the scheme will bring a change into the lives of small and petty vendors, as the government is relieving them from paying heavy interests, and if they repay the loan amount in the given timeline, the State government shall reimburse the interest directly to the beneficiaries’ accounts, and further, they will be eligible to take the next loan.
The Chief Minister stated that vegetable vendors, fruit vendors, small shopkeepers, pushcart vendors, and traditional artisans are eligible to apply for the scheme and if any eligible person is not covered in this scheme, they can still apply through volunteers, and upon verification, they will be provided with the scheme benefits in a month or two. Also, they can call on the 1902 toll-free number to get enrolled.
Panchayat Raj and Rural Development Minister Peddireddy Ramachandrareddy, CHief Secretary Adityanath Das, Municipal and Urban Development Special Chief Secretary Y Srilakshmi, Village and Ward Secretariats Special Chief Secretary Ajay Jain, Panchayat Raj, Rural Development Chief Secretary Gopalakrishna Dwivedi, Village and Ward Secretariats Commissioner Narayana Bharat Gupta, SERP CEO Rajababu, Mepma MD Vijayalakshmi, SLBC Convenor Brahmanandareddy, Sthreenidhi MD Nancharaya, APCOB MD Sreenadh Reddy and other senior officials were present.