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Maharashtra Cabinet Clears ₹36,585 Crore Farm Loan Waiver for 56 Lakh Farmers, Offers ₹50,000 Incentive

Target:MPSCUPSC GS-IIISSC GATeachingPrelims HighMains MediumStatic GK Link
02 Jun 2026
~2 min
Source: The Hindu
Key Data:₹36,585 crore56 lakh farmersOver 65 lakh accountsUp to ₹2 lakh loan capUp to ₹50,000 incentiveJune 2, 2026
Bodies:Maharashtra State Cabinet
Practice MCQs from today's news ▸
What This Article Covers

1.Maharashtra Cabinet approves a farm loan waiver scheme covering loans up to ₹2 lakh, benefiting approximately 56 lakh farmers.

2.The scheme will waive loans worth ₹36,585 crore across more than 65 lakh accounts, and includes a ₹50,000 incentive for farmers with a good repayment record.

3.The move fulfills a key pre-election promise but its official announcement is delayed due to the Model Code of Conduct in place for Legislative Council elections.

The Big Picture
Prelims · HighMains · Medium

The Maharashtra Cabinet has approved a major farm loan waiver scheme ahead of the monsoon season. This fulfills a key election promise by the BJP-led Mahayuti alliance, directly impacting 56 lakh farmers and over 65 lakh loan accounts. The decision is strategically timed but its official announcement is on hold due to the Model Code of Conduct for Legislative Council elections.

Exam Lens

Quick Exam Facts From News

Loan Waiver Amount₹36,585 crore
Farmers Benefitted56 lakh
Loan Accounts CoveredOver 65 lakh
Individual Loan CapUp to ₹2 lakh
Repayment IncentiveUp to ₹50,000
Decision DateJune 2, 2026

1-Minute Revision

  • ›Loan Waiver Amount: ₹36,585 crore
  • ›Farmers Benefitted: 56 lakh
  • ›Target this Data: ₹36,585 crore (Total waiver amount) and 56 lakh (Number of beneficiary farmers).
  • ›Target this Nodal Body: Maharashtra State Cabinet (The approving authority).
  • ›Target this Legal Point: Model Code of Conduct (The reason for delaying the official announcement).

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

The farm loan waiver scheme cleared by the Maharashtra Cabinet was a promise made before which election?

Q2Statement-basedHard

Consider the following statements regarding the farm loan waiver scheme approved by the Maharashtra Cabinet:

1. The scheme will cover agricultural loans of up to ₹2 lakh per farmer.

2. It is expected to benefit exactly 65 lakh farmers across the state.

3. The Cabinet also decided to provide an incentive to farmers who have regularly repaid their crop loans.

Which of the statements given above is/are correct?

Q3Data-centricMedium

What is the total value of loans expected to be waived under the farm loan waiver scheme cleared by the Maharashtra Cabinet?

Q4Application/ImpactMedium

What is a key reason cited in the article for the likely delay in the official announcement of the farm loan waiver scheme?

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