CM announces loan waiver under Badavara Bandhu
Part of: GS Prelims and GS-II – Welfare schemes; Governance
- Karnataka Chief Minister recently announced waiver of loans under the Badavara Bandhu scheme, to provide relief to the poor due to COVID -19 pandemic.
Important value additions:
Badavara Bandhu scheme
- Under the scheme, mobile banks were launched to disburse interest-free loans to street vendors and small traders.
- Small traders will get loans of up to Rs.10,000 without any interest and collateral.
- The beneficiaries will have the flexibility of repaying the loan on daily instalments of Rs.100 or one-time repayment within three months.
- If they repay within the stipulated time, they are eligible for a fresh loan of up to Rs.15,000.