Debt-relief measures passed by the Cabinet win farmers' support

The Cabinet yesterday approved three debt-relief measures, which prompted the cancellation of protests in Bangkok by farmers from the Northeast.
"Relevant government agencies should have intensified the publicity campaign about the progress of work to deal with the plight of farmers," Prime Minister Surayud Chulanont said following the Cabinet meeting. The Agriculture Ministry would dispatch a team of senior officials to explain the debt-relief programme to protesting farmers camping out in Saraburi, Surayud said. Before the Cabinet review of farm debts, PM's Office Minister Thirapat Serirangsan met on Monday with protest organisers to try to convince them not to travel to the capital. Thirapat agreed to air grievances in the Cabinet on the farmers' behalf. The protesting farmers, mostly from Nakhon Ratchasima, staged a march to highlight slow progress in transferring farm loans from commercial banks to the Farmers' Rehabilitation Fund. In one of the three debt-relief moves, the Bank for Agriculture and Agricultural Co-operatives (BAAC) will suspend all litigation on defaulted farm loans until the Fund is designated creditor. The bank will also delay the repossession of any land. As a second measure, the fund will speed up negotiations with commercial banks to resolve problem loans on the farmers' behalf. In the final measure, the fund and relevant government agencies will map out a sustainable programme to assist farmers repay their loans. Agriculture Minister Thira Sutabutra said some 8,000 farmers were involved in various stages of litigation over defaulted loans. Some 2,300 farm loans were "stuck" because it was unclear if borrowers used the money for farming or other purposes, he said. Of some 4,000 loan defaults due to failed crops, financial authorities had removed 1,848 cases worth Bt160 million from commercial banks to the fund since October, he said. And he was optimistic that the fund would complete other such cases this month. Interior Minister Aree Wongsearaya said he had instructed provincial governors to address the farmers' worries and reason with them to prevent protests.
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