Understanding कर्जमाफी: A Financial Relief Measure कर्जमाफी, or loan waiver, is a financial relief measure aimed at alleviating the debt burden on farmers. As of 2026, India has implemented several rounds of loan waivers to support its agricultural sector, which employs nearly 58% of the country's workforce according to the Ministry of Agriculture. Recent Developments in कर्जमाफी In 2024, the Indian government announced a ₹1.5 trillion loan waiver scheme targeting small and marginal farmers. This initiative was designed to cover approximately 50 million farmers across various states, according to a report by Reuters. Economic Impact: A Mixed Bag While loan waivers provide immediate relief to farmers, their long-term economic impact remains a subject of debate. As of 2025, the Reserve Bank of India (RBI) reported that loan waivers contributed to a 0.3% increase in the fiscal deficit. This raises concerns about the sustainability of such measures, especially when considerin...