It is known that Andhra Pradesh government has constituted an expert committee to decide the procedure for Loan Waiver of Farmers and Women Self Help Groups. The committee is all set to submit its preliminary report on Sunday. According to some trusted sources, here are the proposals.

Regarding the time frame of the waiver: Chandra Babu Naidu first announced the loan waiver on October 12th, 2012. First proposal is to waive loans till September 30th, 2012. If the state bifurcation issue may lead to incrase in time, loans till September 30th, 2013 will be considered and the last proposal is till March 31st, 2014 when TDP’s manifesto is released.

Regarding the amount to be waived: If March 31st, 2014 option is considered then loans till One Lakh should be waived off. In case a loan in more than one Lakh then the account will not be considered at all. This will cost 15000 Crores. Second proposal is that waiving off one lakh irrespective of the loan amount. This will cost 21000 Crores. And the last proposal is waiving off till One and half Lakh. This will cost 28000 Crores.

Given the deficit budget of the state and no cooperation from RBI and Central government, the committee also came up with ideas of making money. In a proposal, Farmers have to repay the loans but will be issued Kisan Credit Cards. These cards can be used till 20000 per year for agriculture use and the one lakh limit will be issued for the farmers in the span of next 5 years. And the other recommendations of earning money are auctioning the recovered Red Sandal from smugglers in international market. This will bring 6000 Crore. Solving pending cases on priority basis will get funds on large scale as penalities. One more proposal is auctioning the old vehicles in various departments.And the last proposal is bringing the money from taxes between center and the state.

Gold and DWACRA Loans: The committee is suggesting gold loans on the name of ladies till this year March 31st to be waived off till 50000. If only loans till 50000 are considered, then it will cost 2000 crores. If 50000 is waived irrespective of the loan amount, then it will cost 5000 crores. Committee is recommending not to waive off DWACRA loans but give each group a grant of one lakh rupees which need not be repaid. This will cost 6000 Crores to the government. The committee is recommending no restrictions waiver for weavers and Geetha labour.