This would pave the way for the fulfillment of another key promise of his government.
The checks would be issued during a state-level function on August 20.
The government will repay loans to the tune of Rs 590 crore from 285,325 members of primary agricultural cooperative societies (PACS), thus ensuring relief of Rs 20,000 per member, the statement said citing the chief minister.
He instructed the finance and cooperation departments to launch the process of effective implementation of the decision on the ground.
The state government has formulated a debt relief program for agricultural workers and landless farmers who are members of PACS, which will only cover consumer loans to members advanced by the central cooperative banks of the Punjab district by through primary agricultural cooperative societies.
The Chief Minister’s announcements follow the waiver of farmer loans under the Chief Minister’s flagship program, the Debt Waiver Scheme.
So far loans of Rs 4,624 crore have been canceled for 5.64 lakh farmers under the scheme, which was announced as part of the 2017 poll pledges by the Punjab Congress.
In addition, Scheduled Caste and Backward Class loans were written off up to Rs 50,000 each, including a waiver of up to Rs 58.39 crore of 6,405 beneficiaries by the Scheduled Caste Corporation and Rs 20.71 crore of 1,225 beneficiaries by the Backward Class Corporation.