June 4, 2025 : In a cabinet meeting chaired by Punjab Chief Minister Bhagwant Singh Mann, approval was given to waive loans worth ₹68 crore taken by Scheduled Caste (SC) families in Punjab. This decision will benefit 4,727 families in the state. Chief Minister Mann stated that the loans taken from the Punjab Scheduled Castes Land Development and Finance Corporation (PSCFC) up to March 31, 2020, have been waived. These loans had been pending for the past 20 years, and the move will bring relief to borrowers from the SC community and persons with disabilities.
Mann said that the Punjab government had announced this loan waiver in the 2025–26 budget, and fulfilling that commitment, the cabinet has now waived ₹67.84 crore in total for 4,727 borrowers. This includes ₹30.02 crore in principal, ₹22.95 crore in interest, and ₹14.87 crore in penal interest.
He further mentioned that the PSCFC had given loans to SC families for small businesses like dairy farming, grocery shops, tailoring, boutiques, furniture work, hardware stores, leather goods production, education, and restaurants to help them earn a livelihood. Many of these families couldn’t repay their loans due to the death of the sole earner, prolonged illness, or lack of income.
According to information, the state government will pay only the principal amount of ₹30.02 crore to the PSCFC. However, the government has no plan yet to cover the remaining interest or penalty amount.
Previous governments used SC communities as vote banks: Mann
Chief Minister Bhagwant Mann criticized previous governments for using the SC community merely as a vote bank, while the Aam Aadmi Party (AAP) government genuinely understands their struggles and provides rightful support and dignity. He emphasized that this scheme isn’t just about loan waivers—it’s a step toward restoring the pride and respect of the SC community.
Punjab government calls another cabinet meeting on June 4
The Chief Minister has called a cabinet meeting for the third consecutive day, to be held at 12 PM on June 4 at the official CM residence in Chandigarh. Though the agenda hasn’t been officially announced, the meeting is being linked to the upcoming by-election in the Ludhiana West constituency.
Review water agreements every 25 years: Mann
CM Mann also stated that Punjab has no surplus water to give to other states, and not even a single drop will be given extra. He said that with most blocks in the “dark zone” and a severe groundwater crisis, the state’s own irrigation needs are not being met. He emphasized that every water-sharing agreement should be reviewed every 25 years, something that hasn’t been done in decades. He reiterated the demand to reconstitute the Bhakra Beas Management Board (BBMB), alleging that Punjab’s 3,000 allocated posts have deliberately not been filled to weaken the state’s claim over water. He announced that these vacancies would now be filled, giving jobs to 3,000 youths and securing Punjab’s rights.
He further alleged that the central government has been ignoring Punjab. During the NITI Aayog meeting, he demanded the establishment of colleges and industries in Punjab and stressed the need to develop border districts that have lagged behind for various reasons. He also raised the issues of farmers whose land lies between the international border and fencing.
Summary:
The Punjab government has announced a waiver of ₹68 crore in loans for Dalit families, providing financial relief and dignity to economically disadvantaged SC households.