Kerala CM Pinarayi Vijayan urges banks to write off loans of those affected in Wayanad landslides

Kerala Chief Minister Pinarayi Vijayan has appealed to banks to take extraordinary measures to support farmers in Wayanad who have been severely affected by landslides. With agricultural land rendered unusable and many farmers lost their homes, CM Vijayan emphasized that banks must provide relief to those who are unable to repay their loans, as the situation has become untenable.

Thiruvananthapuram: Chief Minister Pinarayi Vijayan appealed to banks to provide relief to landslide-affected families in Wayanad by writing off their loans entirely on Monday (Aug 19). Acknowledging that partial measures like interest waivers or extended repayment periods are insufficient, CM Vijayan emphasized the need for a comprehensive loan waiver. He expressed confidence that the banking sector can absorb this gesture of support for the affected communities.

He commended the Kerala Co-operative Bank for its proactive decision to waive loans and encouraged other banks to do the same at the SLBC (State Level Bankers' Committee) meeting. 

"Every bank should take the initiative to completely forgive the debt in this area. It's not an unattainable goal," CM Vijayan said.

"The situation in Wayanad is dire, with the region's agricultural landscape irreparably changed. Reports indicate that the land is no longer suitable for habitation or farming. Given that most farmers have outstanding loans, and many have lost their homes, which were built using borrowed funds, the situation has become untenable. Banks must now take bold and exemplary actions to address this crisis," he added.

The Chief Minister also condemned the actions of the Kerala Gramin Bank in Chooralmala for deducting loan repayments from the relief funds given to the disaster-affected individuals. He emphasized that such actions are unacceptable during times of crisis.