Politics
Priyanka Gandhi calls refusal to waive loans of Wayanad landslide victims a 'betrayal'

Congress general secretary Priyanka Gandhi Vadra on Thursday criticized the Union government's decision not to waive loans for those affected by the devastating landslides in Wayanad in July last year, calling it a "betrayal" of the victims. Priyanka, who is also the Member of Parliament from Wayanad, was responding to the central government's affidavit submitted in the Kerala High Court. The affidavit stated that, as per the Reserve Bank of India's Master Directions on Natural Calamities, loans could only be rescheduled or restructured—not waived.
In a Facebook post, she expressed her dismay, saying that victims of the Wayanad landslides had lost their homes, land, and sources of income, yet the government refused to offer meaningful relief through a loan waiver. “Loan rescheduling and restructuring are not relief—they are a betrayal,” she wrote.
She added that both she and the Congress party "strongly condemn this indifference" and assured the affected people that their suffering would not go unnoticed. “We will amplify their voices on every platform until they receive justice,” she said. The Centre’s affidavit was submitted in response to a query by the High Court, which asked whether loan waivers were possible for the victims. In its reply, the Finance Ministry explained that a special meeting of Kerala’s State Level Bankers' Committee (SLBC) had been held on August 19 last year. Chief Minister Pinarayi Vijayan had also attended the meeting, where it was decided to offer relief as per RBI guidelines.
These guidelines allow for measures such as loan restructuring and rescheduling, including a one-year moratorium and the option of fresh credit, in the aftermath of a natural disaster. The affidavit was part of a Public Interest Litigation (PIL) initiated by the Kerala High Court itself, following the deadly landslides, with the aim of improving the state’s disaster response and preparedness. The landslides, which struck the Mundakkai and Chooralmala areas on July 30 last year, caused massive destruction—claiming over 200 lives, injuring hundreds, and leaving 32 people still missing.
Disclaimer: This image is taken from PTI.