Kejriwal Urges PM Modi to Waive Loans for Farmers and Middle Class, Not the Rich

New Delhi: In a recent letter to Prime Minister Narendra Modi, Arvind Kejriwal, the Aam Aadmi Party (AAP) convenor and former Delhi Chief Minister, has called for the government to reconsider its stance on loan waivers.

He urged that the loan waivers should be directed towards benefiting farmers and the middle class, rather than the wealthy.

Kejriwal emphasized that if loans are to be written off, priority should be given to easing the financial burden on farmers and providing relief to middle-class families with home loans.

Kejriwal’s Call for Loan Waivers Targeted at Farmers and Middle Class

Kejriwal argued that the current system of loan waivers, which often favors the rich, leaves the common people burdened with high tax rates.

In his letter, he calculated that waiving loans for the wealthy would significantly reduce tax rates for the general public, potentially halving the taxes paid by average citizens.

He noted that individuals earning around ₹12 lakh annually contribute a substantial portion of their income towards taxes, further exacerbating financial strains for the middle class.

The letter comes in the wake of several high-profile loan waiver schemes for big businesses and rich individuals in recent years.

Kejriwal’s criticism suggests that the government’s focus should shift to supporting the backbone of the economy—farmers and the middle class—who face growing financial challenges.

Kejriwal’s Concerns About the Middle Class

The former Delhi Chief Minister raised significant concerns about the financial burden placed on middle-class families, who are often left to pay higher taxes without receiving equivalent support from government schemes.

Kejriwal argued that the middle class, particularly those in the ₹12 lakh annual income bracket, already shoulder a heavy tax load, which limits their ability to access quality services and investments, including home ownership.

Additionally, Kejriwal’s proposal emphasizes how loan waivers for these groups could foster more equitable economic growth. By supporting farmers and homebuyers, he believes the government can create a more balanced system that empowers citizens while encouraging broader financial security and stability.

A String of Letters to PM Modi

This letter to PM Modi marks Kejriwal’s third such correspondence in recent weeks. On January 19, he wrote to the Prime Minister proposing a joint housing scheme for government employees, particularly sanitation workers in Delhi.

Kejriwal highlighted the issue of inadequate housing options for retired sanitation workers from the New Delhi Municipal Council (NDMC) and Municipal Corporation of Delhi (MCD), urging the central government to work with Delhi’s local authorities to address this pressing concern.

On January 17, Kejriwal also sent a letter suggesting a 50% discount for students traveling on the Delhi Metro. He pointed out that the Delhi Metro is a joint venture between the Central and Delhi governments and proposed that both entities should equally share the financial burden of the Metro’s services.

Kejriwal’s Call Comes Ahead of Delhi Assembly Polls

Kejriwal’s recent letter comes at a time when Delhi is gearing up for its Legislative Assembly elections, scheduled for February 5, with the counting of votes on February 8.

The political landscape is marked by intense competition between the AAP, BJP, and Congress. Each party has made significant promises to attract voters in the lead-up to the polls.

The Congress Party has promised to provide LPG cylinders for just ₹500, free ration kits, and free electricity up to 300 units. It has also introduced the ‘Pyari Didi Yojana’, which promises ₹2,500 per month for women in Delhi.

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Meanwhile, the AAP, which is aiming for a third consecutive term in power, has proposed free healthcare for all senior citizens, monthly assistance of ₹18,000 to priests in temples and granthis in gurudwaras, along with other welfare schemes such as the Mahila Samman Yojana.

The BJP, on the other hand, has vowed to continue providing welfare and subsidy schemes. Its promises include 300 free units of electricity for households, 500 free units for religious places, free bus rides for students and senior citizens, and monthly financial aid for women.

The Political Context

Kejriwal’s stance on loan waivers is not just a financial policy suggestion but also a political statement ahead of the elections.

By advocating for the middle class and farmers, he seeks to align his policies with the concerns of ordinary Delhiites who are grappling with high living costs, inflation, and financial uncertainty.

His focus on loan waivers for the masses rather than the elite could serve to distinguish his party from others and appeal to the common people of Delhi.

Additionally, his letters reflect the AAP’s increasing confidence as it heads into the Delhi Assembly elections, where it will face strong competition from both the BJP and Congress.

The ongoing promises from rival parties make the upcoming elections a highly contested affair.