After Ladki Bahin, state once again dips into SC/ST funds for farmers scheme

The Maharashtra government will divert ₹1,300 crore from SC/ST funds to finance the Namo Shetkari Mahasanman Nidhi Yojana (NSMNY), a farmer cash assistance scheme.

Earlier, the state diverted over ₹750 crore a month from SC/ST funds for the Ladki Bahin scheme.

NSMNY, modeled on the Centre's PM Kisan Yojana, provides ₹2,000 every four months to over 9 million farmers, costing about ₹5,500 crore annually.

The Finance Commission's 2004 guidelines mandate that SC/ST allocations not be diverted, but the cash-strapped state is using these funds due to shortfalls.

The diversion has reduced funds for welfare projects like Vasti Sudhar Yojana and scholarships; NSMNY instalments for March and July are pending release.