The Telangana government is following in the footsteps of the Andhra Pradesh government regarding the issue of waiver of agricultural loans.
It had written a letter to the RBI asking the apex bank to reschedule the farm loans taken in the past one year.
Incidentally, the Telangana government is doing exactly what the Andhra Pradesh has done regarding the issue.
The government has already issued a notification identifying 337 districts affected by heavy rains and subsequent flooding. News is that it will now ask RBI to reschedule farm loans in these districts.
As the AP government had written a similar letter to the RBI, Telangana government is hoping that any decision taken by the RBI will also be applicable to Telangana.
Meanwhile, the banks say that both the governments are trying to play safe as the issue of loan waiving has become a contentious issue for them.
