The State government will launch the ‘Badavara Bandu’ scheme on November 22 which provides interest-free loans ranging from ₹2,000 to ₹10,000 to street vendors and hawkers.
Chief Minister H.D. Kumarawamy will launch the programme in Bengaluru, said Cooperation Minister Bandeppa Kashempur on Friday. He told reporters that cooperative banks would disburse loans to vendors to free them from the clutches of moneylenders. The department has identified about 5,000 vendors in Bengaluru city and another 3,000 in other city corporation limits for this, he added.
District cooperative banks in each district have been assigned the task of providing loans, which will act as seed capital for street hawkers, pushcart vendors and small businessmen. “The scheme allows vendors to repay the amount in small daily instalments of even ₹100, unlike the ordeal they are facing from moneylenders who recover the loan with 10% interest,” the Minister said.
The Finance Department has shot down a proposal on charging an interest of 4% on loans provided by cooperatives.
Cooperative Week
The department will observe the 65th Cooperative Week from November 14 to 20. Mr. Kumaraswamy will inaugurate it in Bidar on November 14.
To mark the occasion, he will present the ‘Sahakara Ratna’ award to a person who has rendered valuable service in the field of cooperation. During the week-long celebrations, events will be organised at Sirsi in Uttara Kananda, Raichur, Bengaluru, Haveri, Kolar, and Shivamogga. Cooperative societies in the fields of housing, labour, consumer, fisheries, rural credit, and marketing are expected to participate, Mr. Kashempur said.