Maharashtra government has approved a farm loan waiver of up to ₹2 lakh for eligible farmers. The decision was cleared during a cabinet meeting chaired by Chief Minister Devendra Fadnavis and is expected to benefit nearly 5.6 million farmers across the state. The scheme has been named the “Punyashlok Ahilyadevi Holkar Shetkari Karjmukti Yojana” and aims to ease the financial burden on farmers facing rising cultivation costs and market uncertainties.
The scheme, farmers with outstanding short-term crop loans of up to ₹2 lakh, including interest, will be eligible for a complete waiver. The loan must have been availed between April 1, 2019, and March 31, 2025, and remained unpaid as of September 30, 2025. Additionally, the borrower should not have cleared the loan by March 31, 2026, to qualify for the waiver benefit.
Farmers whose outstanding dues exceed ₹2 lakh will also receive support under the scheme. However, they will first be required to repay the amount exceeding ₹2 lakh. Once the excess amount is cleared, the government will waive up to ₹2 lakh of the remaining eligible loan. Beneficiaries have been given until March 31, 2027, to settle the excess amount and avail themselves of the waiver.
The state government has also announced rewards for financially disciplined farmers. Those who repaid their crop loans on time in at least two of the three financial years 2022-23, 2023-24 and 2024-25 will be eligible for an incentive of up to ₹50,000. To receive the benefit, farmers must also ensure that loans taken during the current financial year are repaid within the stipulated timeline.
The scheme includes provisions to assist farmers with outstanding dues above ₹50,000. By paying the excess amount, eligible farmers may receive support of up to ₹50,000, helping them move toward complete debt relief and improved financial stability.
Eligibility Restrictions:
Certain categories have been excluded from the scheme. Political office bearers, government employees, income tax payers and employees of cooperative institutions drawing a monthly salary above ₹25,000 will not be eligible for benefits under the programme.
Aadhaar Verification and Registration Mandatory:
To ensure transparency and proper implementation, beneficiaries will be required to complete Aadhaar verification and register on the AgriStack platform. The Maharashtra government is also planning to launch a dedicated digital portal for managing applications and beneficiary records. The loan waiver will cover agricultural loans obtained from nationalised banks, private banks, regional rural banks, district central cooperative banks and primary agricultural credit societies.
Opposition and Farmer Groups Seek Wider Coverage:
Following the announcement, opposition parties and farmer organisations have welcomed the initiative but called for effective implementation. Several groups have urged the government to ensure that the benefits reach genuine farmers without delays. Farmer representatives have also demanded an increase in the ₹2 lakh waiver ceiling, arguing that many cultivators carry larger debt burdens. Some organisations have further suggested raising the incentive for timely repayment from ₹50,000 to ₹1 lakh.
A Significant Step towards Rural Financial Relief:
The loan waiver package is being viewed as a major effort to support Maharashtra’s farming community at a time when rising input costs, weather-related challenges and market volatility continue to affect farm incomes. If implemented effectively, the scheme could provide substantial financial relief and strengthen the economic resilience of millions of farmers across the state.
FAQs:
1. What is the maximum benefit under the Maharashtra Farm Loan Waiver?
Eligible farmers can receive a loan waiver of up to ₹2 lakh, including interest.
2. Which loans are covered under the scheme?
Short-term crop loans taken between April 1, 2019, and March 31, 2025, are eligible.
3. Can farmers with loans above ₹2 lakh receive benefits?
Yes. They must first repay the amount exceeding ₹2 lakh, after which they can receive the waiver benefit.
4. Is Aadhaar verification mandatory?
Yes, Aadhaar verification and AgriStack registration are required for beneficiaries.
5. Who is not eligible for the Maharashtra Farm Loan Waiver?
Government employees, income tax payers, political office bearers, and certain cooperative institution employees earning above ₹25,000 per month are excluded.
