MTU proposes loan waiver for crisis-hit people
Source: Chronicle News Service
Imphal, February 14 2024:
In the midst of Manipur's ongoing financial turmoil attributed to the current conflict, the Meetei (Meitei) Tribe Union (MTU) has urged authorities concerned to exempt loan interest from the crisis affected people.
Expressing grave concern over the economic repercussions faced by the state, MTU underscored the plight of affected borrowers who are being relentlessly pursued by banks for loan recovery.
A statement issued by the MTU highlighted the distressing situation in the state, where individuals grappling with the fallout of the crisis are being subjected to relentless pressure from financial institutions.
Summons, notices, and incessant phone calls from banks have exacerbated the already dire circumstances faced by many, it noted.
Emphasising the need for immediate intervention, MTU called for cessation of loan recovery activities and cautioned that bank officials must be held accountable for any untoward incidents arising from coercive measures.
Moreover, MTU advocated for the conversion of small loans, originally intended to support livelihoods, into compensatory measures by the government.
The economic fallout of the crisis has been severe, with over 42,000 hectares of agricultural land rendered unproductive, resulting in a staggering revenue loss of approximately Rs 700 crore.
Farmers, the backbone of the state's agrarian economy, find themselves in an untenable position.
Despite efforts to cultivate winter crops, the absence of a coherent market policy compounds their woes, leaving them unable to repay agricultural loans or afford basic necessities such as education for their children.
The financial strain extends beyond the agricultural Sector, impacting small industries and entrepreneurs, leading to widespread job losses.
Imphal, the state s primary trade hub, wears a desolate appearance, with traders struggling to make even a single sale at times.
Compounding the economiedistress are the challenges faced by displaced individuals residing in relief camps.
Despite their efforts to generate income through the sale of candles, incense sticks, and detergent powders made by them, the absence of buyers has left them in a precarious situation.
In light of these hardships, MTU called upon the government to address the crisis promptly.
Citing past precedents of loan write-offs during times of calamity including waiver for farmers of Karnataka, Maharashtra, Tamil Nadu, Jammu and Kashmir during floods and market crisis, as well as industrialists and capitalists during Covid-19 pandemic, the MTU statement emphasised the need for immediate relief measures, including loan conversions and a special economic package tailored to
the needs of Manipur's populace.