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India cancels 15 milliard farmers’ debt

10 March 2008

The government of India will release small farmers from the debts at a rate of 15 billion dollars. Such provision is set in the budget for 2008. This law concerns all farmers, whose allotments are less than two hectares. There are approximately 40 million people.
The budget in India is calculated from April, 1 till March, 31 the next year.

According to the government of India, the agricultural sector, which is responsible for the well-being of more than 70% of country’s population, will grow in 2008 by 2,6% that is lower than growth of the branch the last year, when this parameter has made 3,8%. Bloomberg marks, that in the structure of Indian gross national product the share of agriculture has decreased to one fifth, whereas in 1973 it made 41%.

British newspaper The Times writes, that about 150 thousand Indian farmers for the last 10 years have committed suicide, when they could not pay debts.


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