No Shortage of Funds for OBC Corporation Loan Interest Repayment – CM Devendra Fadnavis

Nagpur, Dec 2025: Chief Minister Devendra Fadnavis assured the Legislative Council that there will be no shortage of funds for the repayment of interest on loans issued through the OBC Corporation, which was established for the development and welfare of other backward classes (OBCs).

Answering a question raised by Member Dr. Parinay Phuke, the Chief Minister provided this assurance. Members Abhijeet Wanjari and Umatayi Khapre also participated in the discussion.

CM Fadnavis explained that the state government has decided to establish subsidiary companies based on the principle of targeted beneficiaries to ensure effective distribution of loans, implementation of welfare schemes, and that government benefits reach the weaker sections of the OBC community. In the first phase, officers have been appointed to all subsidiary companies, and in the second phase, representatives from the respective communities will be included on the boards of directors.

Under a new loan distribution system, loans will be provided through banks on the model of the Annasaheb Patil Financial Development Corporation, and the state government will reimburse the interest.

Further details were provided by Minister for Other Backward Class and Bahujan Welfare, Atul Sawe, who stated that the terms and conditions for loans given through the Corporation have been relaxed. For example, instead of two guarantors, only one guarantor is now required. A new office is being operationalized in SIDCO, and the benefits of all schemes under the Corporation will be provided online. Extensive publicity for the Corporation’s schemes is also being carried out.

Minister Sawe added that as of October 2025, the Maharashtra State Other Backward Class Finance and Development Corporation, along with its main company and 14 subsidiary companies, has approved benefits for 29,162 beneficiaries totaling ₹56,955.66 lakh. For the year 2024–25, a fund of ₹4.44 crore was made available to implement the Corporation’s schemes. For 2025–26, ₹65 crore has been allocated to the main company for capital contributions and additional funding requests during the 2025 monsoon session, including ₹15 crore original provision and ₹50 crore supplementary demand.