Post a move to weed out black money from the economy via the demonetization of INR 500 & INR 1000 notes, Indian Prime Minister Narendra Modi faces the ire of tens of thousands of Indians.
The Indian citizens upon facing difficulties in exchanging old notes and standing in long ATM queues have shown distrust in Modi’s motives to revamp the economy.
Modi said he is overwhelmed by the public support post the note ban.
“The hardships that the countrymen have gone through will be a burning example of sacrifice for the bright future of our nation,” Modi said in an address to the nation.
Amid criticism, Modi has promised big sops for small business owners.
- Banks have been asked to raise cash credit limit to small business to 25% from 20%.
- Credit guarantee for small traders to be raised to INR 2 crore.
- Govt will ensure loans to small business owners.
- Home loans for poor and middle class people upto INR 9 lakh will get 4% exemption on interest and up to INR 12 lakh will get 3% exemption
- Govt has taken some decisions to enable poor and middle class people to purchase houses.
- PM Awaas Yojana will have two new schemes so that poor can take loans for building/buying homes, says PM Modi
Among all that Modi has promised, below are the key commitments the PM has made for farmers.
- Modi says no farmer will face a problem in taking loans.
- Government to pay interest for 60 days on loans taken by farmers for Rabi season from district cooperative banks and societies
- PM says government will also bear 60 days interest on select farm loans. Rabi crop sowing up by 6%; fertilizer sales up 9% despite doomsday predictions by critics according to Modi.
- In the next 3 months, 3 crore Kisan credit cards will be converted to RuPay cards which will enable them to buy/sell directly through the card and there will be no need to rush to banks.
- PM Modi asks banks to focus on poor, lower middle class and middle class to tune their programmes out of huge money that has come to them.
- Banks should keep the interests of the poor in mind. They must take appropriate steps for their welfare says Modi.