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Maya seeks RBI help to handle Bundelkhand crisis

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Express news service

Posted: Feb 08, 2008 at 2339 hrs IST

Lucknow, February 7 Chief Minister Mayawati has sought the help of the Reserve Bank of India to handle the crisis in Bundelkhand.

During her interaction with RBI Governor YV Reddy, Mayawati asked him to provide the details of interest to be paid by the Bundelkhand farmers.

The state government, she said, has decided to pay the interest overdue upto Rs 50,000 on their behalf from its own coffers.

There are clear instructions from the RBI to reschedule the principal and interest in drought-hit areas. She requested the Reddy to issue directives to all banks to follow the instruction.

Assuring all help, Reddy said RBI officials will hold meetings with the state government to find a solution to the Bundelkhand crisis.

Later, the officials of the RBI and the state government met to prepare an action plan for Bundelkhand.

It was decided that the bankers will formulate the strategy for relief over the next few days and the state government will send it to RBI for action.

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