HYDERABAD: The Telangana government has reaffirmed its commitment to farmers’ welfare by implementing a historic farm loan waiver and launching the Rythu Bharosa Scheme, which promises direct financial support to cultivators. Presenting the 2025-26 budget in the Assembly, Deputy Chief Minister and Finance Minister Bhatti Vikramarka announced that the government has waived farm loans up to ₹2 lakh and introduced investment support of ₹12,000 per acre annually under Rythu Bharosa.
With ₹24,439 crore allocated for the agriculture sector, these initiatives aim to alleviate farmers’ financial burdens, increase crop productivity, and boost rural incomes.
Farm Loan Waiver: A Relief for 25.35 Lakh Farmers
The government has successfully waived ₹20,616.89 crore worth of farm loans, benefiting 25.35 lakh farmers across the state. The loan waiver is expected to:
• Help farmers clear past debts, allowing them to access fresh agricultural credit for upcoming seasons.
• Reduce financial stress among small and marginal farmers, ensuring they can invest in better seeds, fertilizers, and equipment.
• Strengthen Telangana’s agrarian economy by improving farmers’ purchasing power and overall productivity.
The loan waiver is seen as a corrective measure after years of rising farm distress, particularly in the wake of erratic monsoons and fluctuating market prices.
Rythu Bharosa: Investment Support of ₹12,000 Per Acre
Taking a step beyond direct subsidies, the government has introduced Rythu Bharosa, an investment support scheme providing ₹12,000 per acre annually to farmers. The initiative aims to:
• Help farmers purchase seeds, fertilizers, and agricultural equipment without relying on private moneylenders.
• Ensure better crop planning and financial stability throughout the farming season.
• Encourage modern and sustainable agricultural practices by enabling farmers to invest in improved technology and techniques.
The government has allocated ₹18,000 crore for Rythu Bharosa, ensuring that benefits reach cultivable lands directly. A village-level verification survey has already been conducted to identify non-cultivable lands, preventing misuse of funds.
Additional Support for Farmers
Beyond loan waivers and investment support, the government has announced several key measures to strengthen the agriculture sector:
• ₹500 bonus per quintal for fine rice cultivation, encouraging farmers to grow premium varieties and increase their income.
• Expansion of paddy procurement centers, with 8,332 centers set up during the 2024-25 Kharif season, ensuring fair market access for farmers.
• Modernization of market yards, with an investment of ₹181.98 crore to improve trading facilities.
• Real-time weather updates and provision of advanced dryers and paddy cleaners to protect harvested crops from unseasonal rains.
Ensuring a Farmer-Friendly Future
The Telangana government has emphasized that these measures are part of a long-term vision to make agriculture more sustainable and profitable. By clearing debts, providing direct investment support, and ensuring fair pricing mechanisms, the state aims to uplift the farming community and boost Telangana’s agricultural economy.
While the loan waiver provides immediate relief, Rythu Bharosa is expected to ensure long-term financial stability, making Telangana a model state for farmer-centric governance. If implemented efficiently, these initiatives could transform the lives of lakhs of farmers, ensuring higher incomes, better yields, and a stronger agricultural sector in the coming years.