MP Cabinet approves 'Kavach' scheme for farmers of co-op societies, clears Rs 32,070-cr proposals
Politics 04 Aug, 2026

MP Cabinet approves 'Kavach' scheme for farmers of co-op societies, clears Rs 32,070-cr proposals

Business To Business, Bhopal , 04 August, 2026:   The Government of Madhya Pradesh on Tuesday approved a new farmer-focused scheme called 'Kavach', aimed at restoring access to institutional credit and government welfare benefits for around 5,000 farmers associated with cooperative societies.
The decision was taken at a meeting of the Madhya Pradesh Cabinet, which also approved development plans and proposals worth Rs 32,070 crore to boost the state's infrastructure, public welfare and overall development.
'Kavach' scheme
The scheme, formulated by the state's Cooperative Department, is intended to assist farmers whose loan accounts are under investigation due to alleged irregularities.
According to an official:

  • Around 5,000 farmers are expected to benefit.
  • Many of these cultivators have been unable to access institutional credit because investigations into their loan accounts remain pending.
  • The delays have also prevented them from availing themselves of various government welfare schemes.
The 'Kavach' initiative is designed to ensure that genuine farmers are not deprived of formal banking services and government support solely because of prolonged investigations into cooperative loan accounts.
In addition, the Cabinet cleared projects and proposals worth Rs 32,070 crore, reflecting the state's broader focus on accelerating economic development and public welfare.

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