As questions continue to circulate over who benefits from the Economic Stimulus Programme (ESP) loans, the Finance Minister has clarified that most of the loans have been disbursed to farmers. Nearly 2,000 farmers across the country have received concessional ESP loans for primary agriculture and livestock up to Nu 900,000.
While presenting the update on the agriculture and livestock loan during the Meet the Press Session on Friday, the Finance Minister said that loans have been disbursed to 1,864 applicants.
The ESP Secretariat’s data shows that a total of 3,252 people had applied for primary agriculture and livestock loans as of last week.
Finance Minister Lekey Dorji said, “The concessional loan for primary agriculture and livestock supports projects up to Nu 900,000, and all beneficiaries fall under smallholder farmers. The approval rate is about 61 per cent. From the approved loans, around 94 per cent of fund disbursement has already started.”
The highest number of applications came from Chukha, with 471 applicants, followed by Samtse. Lhuentse, Pemagatshel, and Zhemgang recorded the lowest participation.
The minister added that some farmers who received the loans have already seen an increase in production.
“FMCL’s aggregation of priority crops increased 27-fold compared with the period before the scheme. Pork collection rose from 14.19 metric tonnes to 147.46 metric tonnes, more than a tenfold increase. Similarly, chicken collection increased from 63.40 metric tonnes to 300.32 metric tonnes.”
The government has allocated Nu 15bn under the Economic Stimulus Programme to revive the economy affected by the COVID-19 pandemic.
Kinley Bidha
Edited by Sangay Chezom
