STAFF REPORTER
GUWAHATI: Micro-finance Loan Waive off Condition: The Assam Government has set various terms and conditions to waive microfinance loans of 26 lakh female borrowers in the State. Waiving of micro-finance loans taken by women was one of the major issues of the ruling BJP during the Assembly election campaigns this year.
Addressing a press conference at Janata Bhawan here on Friday, Guwahati Development Department Minister Ashok Singhal said those who took microfinance loans till December 31, 2020, would be eligible to apply for waiving of their loan amounts. Singhal heads the committee to study all pros and cons on the waiver of microfinance loans as to who should get the benefit, which way is to be taken for the move, etc. Chief Minister Himanta Biswa Sarma in his first Cabinet meeting held in May 2021 decided to constitute such a committee.
"While the cut-off year and date for microfinance loan waiving scheme will be December 31, 2021, the committee will not consider those loans which became Non-Performing Assets (NPAs) for the micro-finance institutes and banks before the same deadline," Singhal said.
According to Singhal, the committee will also not consider those microfinance loans taken by women whose annual family income is more than Rs 1 lakh, for the waiving scheme. The borrowers, who have four-wheelers, will also be ineligible for the proposed microfinance loans waiving scheme.
If more than one member of a family has availed such loans, the said family will not be included in the loan waiving scheme.
"Chief Minister Himanta Biswa Sarma had announced the loan-waiving scheme keeping in the pathetic financial condition of many poor women," Singhal said.
Singhal said 26 lakh women took microfinance loans from 40 lenders, including banks, Non-Banking Financial Companies (NBFCs), Micro-Finance Institutes (MCIs) and small finance banks in recent years. He said the total outstanding loan amount dues till this date stands at around Rs 12,500 crore. The outstanding amount includes the principal amount and interest.
The loans below Rs 25,000 were taken by 10,82,000 borrowers while 6.89 lakh women availed loan between Rs 25,000 and Rs 50,000. The loan ranging between Rs 50,000 and Rs 1 lakh was taken by 5.58 lakh women. While 1.25 lakh customers took loans between Rs 1 lakh and Rs 1.25 lakh, the banks and microfinance companies disbursed loan more than Rs 1.25 lakh to 1.69 lakh women borrowers.
Altogether 19.10 lakh customers took a loan from a single bank, NBFC and MCI. On the other hand, nearly 7 lakh women took microfinance loan from more than one, two and three financial institutions.
Singhal said the committee is also considering "good loans" and "bad loans". He said microfinance loans disbursed by following all norms of the Reserve Bank of India (RBI) would be considered as good loans. Those disbursed by violating the RBI guidelines would be considered bad loans, he said.
"We have sought more data and statistics about microfinance loan status from banks, NBFCs and MCIs to conclude. Discussions are being held with all stakeholders to consider all pros and cons on the waiver of microfinance loans as to who should get the benefit, which way is to be taken for the move, etc," Singhal said.
Meanwhile, lakhs of women borrowers are keeping their fingers crossed for waiving off their loans by the government.