The Modi govt. is planning to ease the pain of the farmers facing
financial crisis. With agricultural crisis all over India, the govt. is
considering a plan to transfer cash to the farmers to ease their financial
burden instead of providing subsidies.
According to Bloomberg report, Prime Minister Narendra Modi’s government
is preparing to combine all farm subsidies, including fertilizer costs and
instead pay farmers in cash directly. So far the calculated addition cost is
expected to cross Rs 700 billion annually after a full roll-out of the program.
And Finance Minister Arun Jaitley had calculated a budget of Rs 701 billion
only for farm subsidies.
The BJP, who is seeking to regain a second term, has to regain the trust
of the discontented farmers before the election. The farmers are not only hit
by failing crop prices but also affected by the rising input cost, which
prompted thousands of them to come to the street and protest against the govt.
seeking debt waivers.