There are three schemes which have found acceptance
with the small scale investors and need to
be mentioned.
(a)
TDMF Scheme is a comprehensive
scheme providing capital equipment,
acquisition of technical know-how, upgradation
of process technology, improvement in
packaging, and cost of TQM and ISO 9000.
The applicable interest rate for the
term loan is the same as the Prime Lending
Rate (PLR).
(b)
National Equity Fund Scheme with
a Debt/Equity Ratio is 1.875:1 (i.e.
65:35) contributes a soft loan of 25%
of the project cost at a rate of 5%
payable over a period of 7 years, with
a moratorium of 3 years.
(c)
The Credit Guarantee Scheme (CGTSI)
guarantees upto 75% of the credit risk
subject to loan cap of Rs.25 lacs and
guarantee cap of Rs.18.75 lacs. This
is to assist promoters who cannot bring
in 35% equity. This scheme, which was
launched in August 2000, has found favour
with the investors and already 1276
units have opted for it all over India,
with 17 from West Bengal.
Recent
RBI Measures to Improve Credit Flow
to SSI Sector
Commercial banks advised
Eligible projects
on a regular basis
-
To fix self-set target
for SSI sector.
-
To have 3 slabs for rate of interest
Loans upto Rs 50000
Loans between Rs. 50000 and Rs 2 lakh
Loans above Rs. 2 lakh
-
To provide Interest rate band of PLR
(+) or ( -) 2% for SSI units
-
To incorporate Credit requirement
in identified clusters (60) Clusters)
in ACP for 2003-04 ?–To provide
Publicity for Schemes & Facilities
-
To have better co-ordination with
SSI Assns for increasing credit flow
to SSI units.
-
Innovative steps like Promotion of
Mutual funds (SSI Centric)
Venture capital funds
-
Review their performance under sick
unit rehabilitation programme
-
To recognise Interest Subsidy Eligibility
Certificates of KVIC and provide loan.Composite
loan limit for SSI – ceiling raised
to Rs.50 lakh from Rs. 25 lakh
