VIJAYAWADA: The State government has released Rs 16.36 crore towards reimbursement of interest on bank loans taken by 4,50,546 small businessmen, petty vendors and artisans between November 2020 and September 2021 under the Jagananna Thodu Scheme.
Speaking after crediting Rs 16.36 crore into bank accounts of 4,50,546 beneficiaries under the scheme on Wednesday, Chief Minister YS Jagan Mohan Reddy said his government had come up with Jagananna Thodu for the benefit of small businessmen, petty vendors and artisans as they need not approach moneylenders for loans up to Rs 10,000 towards working capital.
Under the scheme, the government pays interest on loans taken by petty vendors who make timely repayment. The scheme launched with the support of bankers last year, is immensely beneficial to petty vendors as they are relieved from the interest burden. The beneficiaries will be eligible to take fresh loans from banks.
Under the scheme, a total of 9,05,458 beneficiaries have availed interest free loans worth Rs 905 crore in two spells. In the first spell in November 2020, 5.35 lakh beneficiaries and in the second spell in June 2021, 3.70 lakh had got bank loans, he explained.
Jagan announced that the Jagananna Thodu benefit will be provided twice a year in December and June henceforth and new loans will be given to those who have repaid the old loans. The interest will be reimbursed along with fresh loans.He appealed to beneficiaries to repay their loans promptly to avoid overdue and NPA, which could hamper their chances of getting fresh loans.
As there are 5% NPA and 11% overdue in the loans taken under the scheme, he directed officials to create proper awareness about Jagananna Thodu among beneficiaries, underlining the need for timely repayment. People can dial 08912890525 to get their queries pertaining to the scheme answered, he said.
Asserting that his government is extending the benefits of welfare schemes to every eligible person irrespective of caste, religion, region and political affiliation, Jagan said he is considering all in the State as his family members.
Minister for Energy Balineni Srinivasa Reddy, Chief Secretary Sameer Sharma, Special Chief Secretary (Village and Ward Secretariats) Ajay Jain, Principal Secretary (Social Welfare) K Sunita, SERP CEO A Md Imtiaz, MEPMA MD Vijayalakshmi, SLBC Convenor Brahmananda Reddy, Sthreenidhi MD Nancharaiah and other officials were present.
No interest burden
Jagananna Thodu is immensely beneficial to small businessmen, petty vendors and artisans as they are relieved from the interest burden on loans taken towards working capital