BENGALURU: Expanding its farm loan waiver coverage, the state announced on Friday that it would forgive Rs 965 crore of crop loans taken from commercial banks. The loans had turned into non-performing assets (NPAs). Nearly 1.1 lakh farmers will benefit from the decision, which chief minister HD Kumaraswamy took during a meeting with bankers on Friday. The government will waive Rs 2 lakh in each case, and if the loan amount exceeds this limit, the farmer would have to pay the difference.The state government will take on 75 per cent of the NPA burden, whereas banks have agreed to cover 25%, chief secretary TM Vijay Bhaskar told reporters after the meeting. The finance department, he added, has already issued an order in this regard. So far, the government has paid Rs 5,297 crore towards 7.49 lakh crop loan accounts in commercial banks.