Key Points
Union Finance and Corporate Minister, Nirmala Sitharaman on Saturday said that the Ministry of Micro, Small and Medium Enterprises (MSMEs) will get collateral-free loans of upto Rs 100 crore through a new credit assessment model by PSU banks...
Speaking at the National MSME Cluster Outreach Programme in Bengaluru, Sitharaman said that the grievances of MSMEs will be solved after the introduction of a new credit guarantee scheme which will be introduced in the cabinet soon...
"The grievance, which has been for a very long time, is that MSMEs get working capital from banks, they don't get term loans, loans for plant and machinery..
Now, with this guarantee, which was announced in the budget, for up to 100 crores, the guarantee will be provided, even if you are going to borrow more from the banks, for the first 100 crores, the guarantee will be given..
She said that 20 industrial clusters will be covered with the opening of these six new branches of Small Industries Development Bank of India (SIDBI) and it will help in strengthening the MSMEs in Karnataka...
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