EXTENT AND INTENSITY OF RURAL INDEBTEDNESS IN WARANGAL (RURAL) DISTRICT OF TELANGANA STATE: INSIGHTS FROM A FIELD STUDY
The rural sector plays an important role in theÂ Telangana economy. Nearly two-thirds of theÂ Telangana population lives in rural areas, whoseÂ primary occupation is agriculture and allied sectors. TheÂ rural sector however is facing serious challenges suchÂ as increasing agrarian distress, rural and urbanÂ migration, shrinking non-farm employment, etc. As aÂ result, rural distress is becoming a great challenge forÂ future Telangana. Poverty is perhaps a major causeÂ of rural indebtedness. The low level of rural incomes,
the uncertain and primitive farming of small landholdings,Â make it impossible to meet the needs required for theirÂ living. It is reported that about 70 percent of Indiaâ€™s 90Â million farmers spend more than they earn on averageÂ each month (Saha, 2017). Similarly, in Telangana state
about 84 per cent of farm households spend moreÂ than their monthly income (NSSO, 2013). Often, ruralÂ people borrow to bridge this gap between meetingÂ their farm and non-farm needs.