VIJAYAWADA: All arrangements are in place for the disbursement of financial aid to small and petty vendors under the Jagananna Thodu scheme on Wednesday. Chief Minister YS Jagan Mohan Reddy will credit Rs 395 crore new interest-free loans into the bank accounts of 3.95 lakh (Rs 10,000 each) petty vendors and artisans under the scheme.
Jagananna Thodu aims at extending a helping hand to small and petty vendors in the State. It is also aimed at freeing them from the clutches of moneylenders, who charge exorbitant interest. The scheme was launched by Jagan on November 25, 2020. The benefit is being extended to the petty vendors and artisans for the third consecutive year.
In the first year, Rs 535 crore was disbursed to 5.35 lakh beneficiaries and the government paid Rs 29.42 crore towards interest. In the second year, Rs 370 crore was provided to 3.7 lakh beneficiaries through Streenidhi Credit Cooperative Federation and the Andhra Pradesh State Cooperative Bank Limited (APCOB) covering all the eligible beneficiaries in rural and urban areas. The government paid Rs 20.35 crore as interest.
Those having shops in an area of 5 ft length and 5 ft width in villages or cities and those selling vegetables and fruits on pushcarts on footpaths and streets, those maintaining small eateries and selling other articles on bicycles, bikes and autos are eligible for the scheme. With the Rs 395 crore loan to be extended on Wednesday, the total will go up to Rs 2,406 crore, covering over 15.31 lakh beneficiaries in the last three years.
Out of the total 15.31 lakh beneficiaries, more than 8.74 lakh cleared their loans promptly. The government paid a total interest of Rs 63.65 crore, a release said.