Maharashtra disburses loan waiver to 6.2 lakh farmers

Maharashtra began direct cash transfers under the Punyashlok Ahilyadevi Holkar Shetkari Karj-Mafi Yojana on 7 August 2026. The first phase covered more than 6.2 lakh eligible farmer accounts, and the scheme was framed as a farm loan waiver programme for short-term crop loans.

Scheme framework

The waiver covers short-term crop loans up to ₹2 lakh. The eligible loan period runs from 1 April 2019 to 31 March 2025, and the scheme also provides incentive benefits of up to ₹50,000 for regular borrowers who did not default.

Eligibility and exclusion rules

The state identified about 18 lakh to 19 lakh accounts for initial scrutiny. Nearly 12 lakh accounts were sent back to banks for error verification because of duplicate entries, name mismatches, and cases involving deceased owners with untransferred land.

Cooperation Minister Babasaheb Patil stated that 1.40 lakh farmers were excluded from the waiver list. This group included 94,000 income tax payers flagged by the Central Board of Direct Taxes and 46,000 persons with administrative or technical discrepancies.

Implementation process

The Maharashtra government launched the loan waiver framework on 2 June 2026 after a promise in the Mahayuti alliance’s 2024 Assembly election manifesto. A preliminary pilot rollout began on 23 July 2026, with the first 500 verified beneficiaries across six districts.

State data on 6 August 2026 showed that Aadhaar authentication had been completed for 12.10 lakh accounts out of roughly 32 lakh submitted crop loan accounts. The first phase of direct transfers was initiated on 7 August 2026.

Important Facts for Exams

• The Punyashlok Ahilyadevi Holkar Shetkari Karj-Mafi Yojana is Maharashtra’s farm loan waiver scheme.
• Short-term crop loans up to ₹2 lakh are covered under the scheme.
• The eligible loan period is from 1 April 2019 to 31 March 2025.
• Aadhaar authentication is used in the verification process for beneficiary accounts.

Administrative checks

More than 2,000 public representatives, including ministers, Members of Parliament, and Members of the Legislative Assembly, were disqualified from the scheme. Government officials and local body employees were also excluded from participation.