PM Announces New Schemes: Read The Highlights

Prime Minister Narendra Modi, in his address to the nation on New Year ’s Eve, thanked all citizens for taking part in his “fight against black money”. He claimed that the demonetisation drive has largely hit arms smugglers, illicit trade and drugs traffickers, as they are mainly dependent on black money.

He also said serious offences by bank and government officials had come to light post demonetisation and no one would be spared.

He also urged banks to quit traditional way of functioning.

The Prime Minister called upon political parties to take steps to end black money in funding and corruption.

He also made the following announcements:

• Two new schemes under Pradhan Mantri Awas Yojana to provide 4% interest waiver on loan of up to Rs.9 lakh, and of 3% on loan up to Rs.12 lakh.


• 3% interest waiver on loan up to ₹2 lakh for construction of houses in rural India


• Govt to pay interest for 60 days on loans taken by farmers for rabi season from district cooperative banks and primary societies


• Three crore farmers, who have Kisan Credit Cards, will be given RuPay debit cards within three month


• Govt to stand guarantee for loans up to ₹2 crore from current ₹1 crore, to small businesses


• Banks have been asked to raise cash credit limit to small business to 25% from 20%


• ₹6,000 to be put into accounts of pregnant women in 650 districts for vaccination and other medical use


• Loss that Nabard suffered by giving loans to cooperative banks and societies at low interest rate shall be borne by the government


• 8% interest rate will be guaranteed on deposits of up to ₹7.5 lakh for 10 years for senior citizens; interest will be paid monthly


• Banks have also been asked to increase working capital loans from 20% of turnover to 30% for enterprises that transact digitally

This article has been made possible because of financial support from Independent and Public-Spirited Media Foundation.