Archive · 12 Nov 2025
Maharashtra Govt Approves Rs 827 Cr for Rural Banks Amid Election Code
The government in Maharashtra decided to give a lot of money, over 800 crore rupees, to three farmer banks in Nashik, Nagpur, and Dharashiv.
This money is to help these banks be stronger so they can keep giving loans to farmers to grow their crops.
One of the banks in Nashik will get its money over two years.
The government also mentioned approving money for water projects in Hingoli.
However, some people are questioning if it was okay for the government to make these big decisions right now because an election is happening soon, and rules usually say not to make new announcements during election time.
Maharashtra government approved ₹827 crore as share capital for cooperative banks in Nashik, Nagpur, and Dharashiv.
The funds are intended to strengthen the financial position of these banks and ensure smooth credit flow for farmers' crop loans.
Nashik District Central Cooperative Bank will receive the largest share, totaling ₹672 crore, disbursed over two financial years.
The decision was made during a cabinet meeting chaired by the Chief Minister, despite the ongoing local body elections and the model code of conduct.
An opposition spokesperson criticized the timing of the announcement, questioning its compliance with election rules.
- Who
- Maharashtra government (Mahayuti)
- What
- Approved ₹827 crore as share capital for the district central cooperative banks of Nashik, Nagpur, and Dharashiv, and approved funds for two irrigation projects in Hingoli.
- When
- Tuesday
- Where
- Maharashtra
- Why
- To strengthen the financial position of the cooperative banks, ensure smooth credit flow to farmers for crop loans, and following the Reserve Bank of India's request for recapitalization and revival of these banks.
Opposition Criticism
Government Rationale
Cabinet Meeting During Model Code of Conduct
Opposition Criticism
Senior Congress spokesperson Sachin Sawant criticized the Mahayuti government for holding a cabinet meeting and announcing decisions impacting rural areas while the Model Code of Conduct is in place due to local body elections.
Government Rationale
An official stated the decision was necessary to strengthen the financial position of the district cooperative banks and ensure smooth credit flow to farmers, and that the Reserve Bank of India had requested the State Government's action on recapitalization and revival of these banks.
- Total approved for cooperative banks
- ₹827 crore
- Nashik District Central Cooperative Bank allocation
- ₹672 crore
- Nagpur District Central Cooperative Bank allocation
- ₹81 crore
- Dharashiv District Central Cooperative Bank allocation
- ₹74 crore
- Nashik Bank disbursement (current FY)
- ₹336 crore
- Nashik Bank disbursement (next FY)
- ₹336 crore
- Irrigation projects approved in Hingoli
- 2 (mentioned in opposition criticism, details not specified)
