Government Funded Loan Scheme
Government Funded Loan Scheme
The Loan scheme has two components
- Component I: Investment Loans to strengthen MSMEs
- Component II: Working Capital Loans to support MSMEs in the NPL category
Eligible Sectors
Eligible Sectors
Registered Small or Medium-sized Enterprises (SMEs) with,
- An annual turnover less than Rs.1 billion
- Having less than 200 employees
Eligible Beneficiaries
Eligible Beneficiaries
Manufacturing, Construction, Export oriented, Tourism, Apparel, Fisheries, Animal husbandry, Agriculture, Agro based industries and all women-led enterprises Trading, leasing and renting businesses are not eligible under this scheme
| Key Features | Component I: Investment Loan Category | Component II: Working Capital Loan for NPL Category |
|---|---|---|
| Sub Loan Amounts | Rs. 15Mn | Rs. 5Mn |
| Interest Rate | 7% Fixed | 8% fixed |
| Maximum Tenure of the Loan | 10 years including max. 12 months grace | 5 years including max. 6 months grace |
FAQs
FAQs
01. Am I eligible to obtain this facility?
- Your business should be a registered business entity with an annual turnover below Rs 1 billion and the number of employees should be less than 200. In the case of a group of companies, the total turnover of the group will be considered.
- The decision to grant the facility will be made based on the viability of the proposal.
02. What if the business is still under registration?
If the customer has not obtained the business registration (BR) yet, evidence of the application for registration, such as a letter from the relevant authority, application fee payment receipts etc., may be accepted.
03. Do I have to offer collateral?
The bank may request suitable collateral.
04. Can the business obtain multiple loans under this scheme?
Multiple loans cannot be obtained and one registered entity can obtain only one loan, in the case of a group of companies, only one loan can be obtained for the entire group
05. What are the required documents?
You will be required to provide any documents requested by the Bank including the following:
- Duly filled Loan Application
- Copy of the Business Registration Certificate /NIC of applicants
- For sole proprietorship and partnership – Certificate of registration
- For Private Limited Company – Form 01 and other related forms with the details of the directors, company address etc
- Supplier invoices/quotations/Certified BOQs as applicable to support the request
- Valid Environmental Protection Licenses (EPLs) where applicable
- Recommendation form issued by the Ministry of Industries
- Any other documents required by the Bank for the approval process
06. Who should I contact to get more information?
Refer the branch contact details or contact 0112350000.
