THE Maharashtra Cabinet on Tuesday approved significant changes to the latest farm loan waiver scheme, removing key eligibility conditions, including the previous Rs 50,000 upper limit applicable for the beneficiaries of the 2019 waiver. The Cabinet also decided to fast-track the redevelopment of Maharashtra State Road Transport Corporation (MSRTC) land by exempting the projects from the State’s public-private partnership (PPP) policy. At a meeting chaired by Chief Minister Devendra Fadnavis, the Cabinet approved amendments to the Punyashlok Ahilyadevi Holkar Farmer Loan Waiver Scheme, 2026, removing the earlier Rs 50,000 cap applicable to around 13 lakh farmers who had benefited under the 2019 loan waiver scheme. The change will enable these farmers to avail loan waiver benefits of up to Rs 2 lakh under the new scheme, subject to its provisions, according to a release issued by CMO. The Cabinet also withdrew the condition requiring farmers to take fresh crop loans and repay them on time during 2026-27 to qualify for incentive benefits.

 

The decision is expected to benefit about 23 lakh farmers. The overall scheme aims to provide assistance worth Rs 36,585 crore to around 56 lakh farmers, according to the Chief Minister’s office. In another major decision, the Cabinet approved the implementation of the Centre-sponsored Urban Challenge Fund (UCF) in Maharashtra with suitable modifications in line with Central guidelines. The programme aims to encourage urban local bodies to raise market-based finance, strengthen governance, build institutional capacity and develop sustainable urban infrastructure. The State will create a separate Budget head for the scheme and provide its matching share. Priority sectors include water supply and sanitation, creative urban redevelopment and developing cities as growth hubs. The Government also approved the creation of project management and advisory mechanisms for effective implementation. The Cabinet granted an exemption from the Maharashtra PPP policy for the redevelopment of surplus land owned by the MSRTC, saying this would help avoid procedural delays and accelerate projects. The transport corporation owns around 3,500 acres of land at nearly 850 locations, many of them in prime urban areas.