Rajasthan Implements One Time Settlement Scheme for Farmers and Entrepreneurs
| Aspect | Details |
|---|---|
| Scheme Name | One Time Settlement Scheme (OTS) |
| Government | Rajasthan Government |
| Announced In | Budget for the financial year 2025-26 |
| Effective Period | 1 May to 30 September 2025 |
| Applicable Loans | Loans disbursed by Rajasthan Minorities Finance and Development Cooperative Corporation Limited (RMFDCC) overdue by 31 March 2024 |
| Eligible Borrowers | 36,351 loanee members associated with Land Development Banks |
| Key Benefit | 100% waiver on simple interest and penal interest upon lump sum payment |
| Target Loans | Overdue loans worth Rs 760 crore |
| Re-loan Benefit | 5% subsidy on re-loan |
| Proposed Expenditure | Rs 200 crore |
| Objective | Recover outstanding loans, reduce financial burden on borrowers |
| Land Development Bank | Co-operative banks for agriculture and rural development |
| History | First bank established in 1920 at Jhang, expanded with Chennai bank in 1929 |
| Sources of Finance | Government grants, agriculture financing, bonds, loans from co-operative/commercial banks |