CM plans scheme to lend Rs 1,000 daily to street vendors

Bengaluru, 26 Aug 2018 [Fik/News Sources]: State chief minister, H D Kumaraswamy, said that preparations are afoot to implement a mobile banking-based scheme for poor street vendors. Under this scheme, these vendors would be able to raise interest-free loan of Rs 1,000 in the morning, and repay the same in the evening without the need to pay any interest. He said that this will obviate the necessity to pay exorbitant rates of interest to middlemen.

With this step, the chief minister hopes to deliver a deadly blow to finance mafia which collects very high rates of interests from these vendors.

Speaking after inaugurating the ladies hostel built by Bharat House Building Cooperative Society at Turahalli on behalf of Samaja Samparka Vedike on Saturday, he drew their attention to the opinion expressed by some people who thought that he would not be able to do anything. "Wait for three to four months. We are preparing to implement mobile banking scheme for street vendors. They will be relieved of the burden of interest," he claimed.

"Karnataka has 75 lac farmer families. Out of them, nearly 45 lac families get loan facilities from nationalized and cooperative banks. The balance 30 lac people raise loans from private moneylenders. We will see that they stop paying huge interest," he explained.

At the same time, Kumaraswamy requested people not to approach him at his home and office with petitions and problems every day. He said that he will listen to grievances and suggest remedies thereof only on Saturdays and he will spend a day every week in some district. Thereby, he felt he would be able to set aside time for implementing development schemes and have control over administrative machinery.