The Maharashtra Cabinet has approved a farm loan waiver of up to ₹2 lakh, benefiting nearly 56 lakh farmers
June 2, 2026: The Maharashtra Cabinet, led by Chief Minister Devendra Fadnavis, has approved a major farm loan waiver scheme ahead of the monsoon season. Under the decision, eligible farmers will receive a waiver of up to ₹2 lakh on agricultural loans. The total financial outlay of the scheme is estimated at ₹36,585 crore and is expected to benefit around 56 lakh farmers across Maharashtra. Sources said an official announcement has been delayed due to the Model Code of Conduct currently in force for the Legislative Council elections.
The loan waiver was one of the key promises made by the BJP-led Mahayuti alliance during the 2024 Assembly elections. According to sources, more than 65 lakh loan accounts will be covered under the scheme. In addition to the waiver, the Cabinet has also approved incentives of up to ₹50,000 for farmers who have regularly repaid their agricultural loans, aiming to encourage financial discipline and support responsible borrowers.
Earlier, on May 21, Chief Minister Devendra Fadnavis had assured that eligible farmers would receive the benefits before June 30 so they could access fresh credit for the upcoming Kharif season. The government had faced criticism over delays and uncertainty surrounding the implementation timeline of the scheme. With Cabinet approval now in place, the state is expected to begin rolling out the benefits once election-related restrictions are lifted.