Amidst Fear of Rift, Coalition Committee Approves Farm Loan Waiver

Siddaramaiah’s demand of retaining previous government’s programmes was approved by the committee.

Karnataka Chief Minister HD Kumaraswamy and his deputy, G Parameshwara, greet each other after their coalition government won the trust vote.

(Photo: PTI)

Amidst speculations of a rift in the JD(S)-Congress coalition government, the coalition coordination committee, on Sunday, approved the Rs 53,000 crore farmer loan waiver.

The committee which met at Bengaluru’s Kumarakrupa guest house approved all recommendations of the Common Minimum Programme (CMP) drafting committee. The CMP is the document that ensures the manifesto promises of both the parties are included in the government’s budget.

Apart from Kumaraswamy’s ambitious loan waiver, the committee agreed to retain the flagship programmes of the previous Congress government, which was a demand from former Chief Minister Siddaramaiah. However, his demand of the JD(S) not presenting a fresh budget, was not even discussed during the meeting.

However, which minor schemes will be discontinued will be known only on budget day. CM Kumaraswamy is expected to present the budget on 5 July.

Senior Congress and JD(S) leaders meeting for coordination committee meeting (Photo Courtesy: Karnataka Congress)

The committee met days after former Chief Minister Siddaramaiah was caught on camera doubting the stability of the coalition government. These leaked videos of Siddaramaiah claiming the government won’t last beyond the Lok Sabha election, had threatened to create a rift in the coalition government. But the rumours of the rebellion were put down when Siddaramaiah came for the committee meeting.

The entire CMP document will be unveiled during the chief minister’s first budget speech in the assembly, said senior leaders.

Apart from the loan waiver, the CMP meeting also agreed on setting aside Rs 1.25 lakh crore for irrigation over the next five years.

JD(S) spokesperson Danish Ali said that the CMP has also decided to fund the construction of 20 lakh homes for the homeless, over the next 5 years. He added that the coalition government will provide over 1 crore jobs during their full tenure.

KC Venugopal, AICC’s Karnataka in-charge said that the farmer loan waiver is a joint project of both parties. He said that Congress and Rahul Gandhi believe in waiving the loans of the farmers in distress.

Venugopal insisted there no are differences in the coalition but added that ministers in the government should talk beyond their departments. “We have decided that ministers can talk about their ministries and talking beyond ministries is not advisable. And there should be a regulation (on public statements) from the coalition government and there should be designated spokespersons,” he said.

He also added that there will be joint legislative party meeting and cabinet expansion will take place soon.

Although Chief Minister Kumaraswamy didn’t address the media, in a short statement he asked reporters to wait till 5 July to know the details of the farmer loan waiver.

However, the questions remain on how the coalition government can afford a farmer loan waiver, which will cost 32 percent of total capital expenditure of the state, without terminating several programmes of the previous government.