AP CM Reddy disburses Rs 561 crore under 'Jagananna Thodu' scheme

Andhra Pradesh Chief Minister Y S Jagan Mohan Reddy on Tuesday disbursed Rs 561 crore to 5.1 lakh small and marginal traders and artisans under the 'Jagananna Thodu' scheme, which also included Rs 11 crore interest subvention component.

He disbursed these funds at his camp office for the fourth year at a stretch under the first tranche for this year.

"Nowhere in the country a programme like this, which benefits lakhs of people is happening," said Reddy.

'Jagananna Thodu' aims to shield petty traders and traditional artisans from the clutches of loan sharks for their daily working capital needs, empowering them to avoid usurious interest rates.

The scheme offers Rs 10,000 interest-free loan per annum and also rewards prompt repayments by adding another Rs 1,000 to the loan amount each year, which is capped at Rs 13,000.

The Chief Minister highlighted that more than 4.5 lakh beneficiaries have repaid these loans on time.

Out of the 5.1 lakh beneficiaries on Tuesday, the CM said 50,000 are new beneficiaries.

Until now, the southern state has disbursed Rs 2,956 crore under this scheme, benefiting more than 15 lakh petty traders.

Similarly, under interest subvention, it has reimbursed Rs 75 crore thus far through this scheme.