PRADHAN MANTRI MUDRA YOJANA (PMMY)
Micro Units Development
and Refinance Agency Ltd-MUDRA is flagship scheme of Government of India
launched on 8th April 2015 to “fund the unfunded” by bringing such enterprises to the formal
financial system and extending affordable credit to them.
ELIGIBILITY:
·
All Non-Farm
enterprises.
·
Under ‘Micro Enterprises’ and ‘Small Enterprises’ segment.
·
Engaged in
income generating activities.
·
Engaged in
manufacturing, trading and services and
·
Whose credit
needs are upto Rs.10 lacs.
·
All
non-corporate small business segment comprising of proprietorship or
partnership firms running as small manufacturing units, service sector units,
shopkeepers, fruit/vegetable vendors, truck operators, food service units,
repair shops, machine operators, small industries, food processors and others
in rural and urban areas are eligible for assistance under MUDRA scheme
CREDIT FACILITIES
·
Any type of
Fund-based or Non Fund-based facility.
·
No minimum
amount, maximum amount upto Rs.10 lac.
CATEGORIZATION OF MUDRA LOANS
|
Category
|
Stipulated Credit Limit
|
|
Shishu
|
Loans sanctioned under the scheme upto Rs.50000/-
|
|
Kishore
|
From Rs.50001/- to Rs.500000/-
|
|
Tarun
|
From Rs.500001/- to Rs.1000000/-
|
SECURITY:
·
Assets
created out of Bank’s finance.
·
No collateral
security .
Rajiv Rinn
Yojana
Interest subsidy scheme for housing
Scheme designed by Ministry of housing and Urban Poverty
Alleviation, as an additional instrument for addressing the housing needs of
the EWS/LIG segments in urban area.
EWS- Economically Weaker Section- Family Income not above
Rs.100000/- p.a
LIG- lower income group- family income between Rs.100000/-
to rs.200000/- p.a
Eligibility and Loan
Amount
|
Details
|
EWS
|
LIG
|
|
Income Limit
|
Households having an average annual income upto
Rs.100000/-
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Households having an average annual income between Rs.1-2 lac
|
|
Maximum Loan
|
Rs.500000/-
|
Rs.800000/-
|
|
Construction area(Min. House Area)
|
21 sq.metre
|
28 sq.metre
|
*Subsidy will be given for loan amount upto
Rs.5.00 lac only.
Loan Disbursement- Release of loan wil
be linked to the pace of construction, which ideally
is to be completed in two year.
Loan Repayment-
# Minimum period- 15 years # maximum
period-20 years
(construction to be completed
within 2 years)
The beneficiaries will be charged an interest net of the
fixed subsidy of 5%(500 basis points) from the
prevailing rate of interest. The branches will deduct the interest subsidy
amount from the EMI of the borrower and debit the net EMI.
Security-
Mortgage of dwelling units. No
collateral security / third party guarantee for loans under RRY upto Rs.5.00 lac. The subsidy
will be passed on as follows- Subsidy will be 5 %p.a
on interest charged for EWS and LIG, admissible for a maximum loan amount of
Rs.5 lac over the full [period of the loan.
Differential
Rate of Interest (DRI)-1972
To assist poorest of the poor and to bring
them above poverty line.
Eligibility-
Individuals whose family income does not exceed Rs.18000/- p.a
in Rural Areas and Rs.24000/- in Urban & Semi-Urban Areas.
Purpose of Loan-
For productive activities, pursuit of higher education, purchase of artificial
limbs, hearing aids, wheel chair by physically handicapped.
Quantum
of Loan- Maximum amount Rs.15000/- as term loan or working capital or both
for productive purposes. For housing Rs.20000/- (Only to SC/ST)
Target- Min 40%
to SC/ST
Margin- NIL
Rate
of Interest- 4% p.a, Simple Interest.
Security-
Hypothecation of assests created out of bank loan.
No collateral security required.
Repayment- maximum 5 years including grace
period upto 2 years.
Prime Minister Employment Generation Programme PMEGP
Objective-
1.
To generate employment opportunities in rural/urban
India through new self employment projects/micro enterprises.
2.
To bring together widely dispersed traditional
artisans/rural & urban unemployed youth and give self employment opportunities
to the extent possible at their place.
3.
To provide continuous and sustainable employment
to a large number of traditional and prospective artisans.
Eligibility Norms-
1.
Any individual above 18 years of age
2.
No income ceiling for PMEGP.
3.
Atleast VIII standard
pass for :
i. Project cost
above Rs.10 Lac for manufacturing and
ii. Project cost above Rs.5 Lac in business
& service.
4.
Self help Groups, Institutions registered under
Societies Registration Act 1860, Production Co-operative Societies, and
Charitable Trusts.
5.
PMEGP is meant only for new projects. Existing
units under PMRY, REGP or any other Govt. Scheme not eligible.
6.
Only one person from one family is eligible for
obtaining financial assistance for setting up of projects under PMEGP.
7.
The ‘family’ includes self and spouse.
8.
SHGs are eligible for assistance under PMEGP
include
SWARNA JAYANTI SHAHARI ROZGAR YOJANA
Introduced on 01-12-1997, revised by RBI in October – 2009, w.e.f. 1-4-2009. The new scheme has five major components
as under:
|
Direct Loan components with subsidy:
1. Unban
Self Employment Programme (USEP)
2. Urban
Women Self-help Programe (UWSP)
|
Training and skill up component:
1. Sill
Training for Employment Promotion amongst Urban Poor (STEEP-UP)
2. Urban
Wage Employment Programme (UWEP)
3. Urban
Community Development Network (UCDN)
|
Objective:
Poverty alleviation through employment to the BPL urban unemployed, Supporting skil development and training programmes,
Empowering the community through suitable self-managed community structures
like Neighborhood Groups (NHGs), Neighborhood Committees (NHC),Community
Development Society (CDS), etc.
Funding
Pattern: 75:25 Centre and the States. 90:10 Centre & State for Spicial Category
|
|
USEP
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URBAN WOMEN SELF-HELP PROG.
|
|
Coverage
|
Whole clusters within each town
|
Group Scheme: Of urban poor women for gainful self-employment
ventures.
|
|
Target
|
Urban poor BPL:
|
Groups existing for at least one year and with at least 5 with one
organizer.
|
|
30% Women, 15% Minorities, 30% Differently- able.
|
|
Eligibility
|
No minimum qualification
|
|
|
Project Cost
|
Rs. 2,00,000/- Maximum per unit
|
The UWSP group will be ebtitled to a
subsidy of the lowest of the:
1. Rs300,000/- or
2. 35% of the cost of project or
3. Rs. 60,000/- per Member of the Group
|
|
Subsidy
|
25% of the Project Cost subject to a maximum of Rs. 50,000/-
|
|
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Margin
|
5% of the project cost.
|
|
NATIONAL
EQUITY FUND (NEF)
To provide equity support to
entrepreneurs both for setting up new projects in tiny / small Enterprises
sector and for expansion and modernization by existing units.
·
Project Cost: Not exceed Rs. 50 lac (including margin money for working capital).
·
Promoters’ Contribution: Minimum 10% of project cost.
·
Nature of Assistance: Equity type
Assistance in the form of soft loan.
·
Amount: 25% of project cost or Rs. 10 lac per project, whichever is lower.
·
Interest: Service charge @ 1%p.a. to be retained by
bank. Interest @ 6% would be recovered by SIDBI.
·
Repayment Period: 7 Years (including
moratorium upto 3 years) for the soft loan.
·
Security: No security (including collaterals ) is to be insisted upon for the soft loan.
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NRLM-‘AAJEEVIKA’
The Ministry of Rural Development, Govt. of India has
launched National Rural Livelihood Mission (NRLM) by restructuring SGSY,
effective from April 1,2013.
OBJECTIVES: Poverty reduction through
building strong institutions of the poor, particulaty
women, and enabling these institution to access a range of financial services
and livelihoods servives; promote their financial
inclusion and strengthen their
livelihoods. A women’s self help group consisting of 10-15 members,coming together on the basis of mutual affinity is
the primary building block of the NRLM community institutional design. In case
of special SHGs i.e. groups in the difficult areas, groups with disabled
persons, and groups formed in remote tribal areas, groups with disabled
persons, and period of 5-7 years till they come out of abject poverty.
REVOLVING FUND (RF): NRLM would provide a RF
support to SHGs in existence for a minimum period of 3 to 6 months. Only srch SHGs that have not received any RF earlier will be
provided with RF,, as corpus, with a minimum of Rs.
10,000 and up to a maximum of Rs. 15,000 per SHG.
CAPITAL SUBSIDY: No Capital Subsidy will be
sanctioned to any SHG.
INTEREST SUBVENTION: NRLM has a provision for
interest subvention, to cover the difference berween
the Lending Rate of the bank and 7% on all credit from the banks/financial institutiojs
availed by women SHGs, for a maximum of Rs 3,00,000 per SHG. This will be available
across the country in two ways:
a)In 150 identified districts, nanks
will lend to all the women SHGs @7% upto an
aggregated loan amount of Rs 3,00,000/. The SHGs will also get additional
interest subvention of 3% on prompt payment reducing the effective rate of
interest to 4%.
b)IN the remaining districts also,
NRLM compliant women SHGs will be registered with SRLMs. These SHGs are
eligible for inertest subvention to the extent of difference between the
lending rates and 7% for the loan upto Rs. 3 lakhs, subjected to the norms prescribed.
OPENING OF SAVINGS A/CS: Banks would open a/cs
for all the Women SHGs, SHGs with members of Disability & the Federations
of the SHGs after KYC compliance.
LENDING NORMS: The eligibility criteria for
the SHGs:
·
SHG should be in active existence at least since
the last 6 months as per the books of accounts of SHGs and not from the date of
opening of Savings Bank account.
·
SHGs should be practicing ‘Panchsutras’
i.e. regular meetings, regular savings, regular inter-loaning, timely repayment
and up-to-date books of accounts.
·
The existing defunct SHGs are also eligible for credit if
they are revived ad continue to be active for a minimum period of 3 months.
LOAN AMOUNT- The emphasis is laid on
multiple doses of assistance
·
First Dose: 4- 8 times to the proposed corpus
during the year or Rs.50000/- whichever is higher.
·
Second Dose: 5-10t imes
of existing corpus and proposed saving during the next 12 months or Rs.1 lac, whichever is higher.
·
Third Dose: Minimum of Rs.2 lac,
based on the micro credit plan prepared by the SHGs and appraised by the
Federations/Support agency and the previous credit history.
·
Fourth Dose onwards: Loan amount can be between
Rs.5-10 lac for fourth dose and/or higher in
subsequent doses. The loan amount will be based on Micro Credit Plans of the
SHGs and their members.
The loans may be used for meeting social needs, high cost
debt swapping and taking up sustainable livelihoods by the individual members
within the SHGs or to finance any viable common activity started by the SHGs.
TYPE OF FACILITY- SHGs can avail either Term Loam or a CC loan or both
based on the need. In case of need, additional loan can be sanctioned
even though the previous loan is outstanding.
REPAYMENT SCHEDULE
·
The first
dose of loan will be repaid in 6-12 installments.
·
Second dose
of loan will be repaid in 12-24 months.
·
Third dose
will be sanctioned based on the micro credit plans, the repayment has to be
either monthly/ quarterly/ half yearly based on the cash flow and it has to be
between 2 to 5 years.
·
Fourth dose
onwards, repayment has to be either monthly/ quarterly/ half yearly based on the
cash flow and it has to be between 3 to 6 years.
SECURITY AND MARGIN
No collateral and no
margin will be charged upto Rs.10 lacs
limit to the SHGs. No lien should be marked against savings bank account of
SHGs and no deposits should e insisted while sanctioning loans.
Kisan Credit Card
Scheme designed by NABARD
aims at providing adequate and timely shotrt
term, post harvest expenses, produce marketing loan, credit needs etc.
Fixation of Limits-
The short term credit limit for farmers other than marginal farmers for first
year will be calculated as follows:
Scale of finance for the crop (as decided by District level
technical committee)x Extent of area cultivated+ 10% of limit towards post
harvest/household/consumption requirements + 20% of limit towards repairs and
maintenance expenses of farm assets+ crop insurance & asset insurance. For
subsequent years, limit will be increased each year by 10% towards cost
escalation/ increase in scale of finance for every successive year and
estimated term loan componenet for the tenure of Kisan Credit cards i.e. five years.
Validity period of
KCC- Banks may fix the validity after review.
If there is credit balance in the account savings bank
interest will be paid.
Insuramce-
Automatic insurance- In case of accidental death or permanent disability
Rs.50000/-. For partial disability Rs.25000/-
Premium- Rs.15/-
out of which Rs.10 to be borne by Bank and remaining by beneficiary.
Laghu Udhyami
Credit Card (LUCC)
SIDBI has structured a Laghu Udhyami Credit Card for small business, retail traders,
artisans, professionals, self employed persons and small industrial units.
Eligibility-
Existing customers with satisfactory track record with working capital limits upto 10 lacs for last 3 years are
eligible for the card.
Credit
limit- 20% of annual sales. In case of
Professionals 50% of the gross income.
Limit- Rs.10 lacs
Validity-3 years
Education Loan Scheme
Education loan is available for the following courses
Course Eligible:
a.
Studies in India- All kinds of education in
India
b.
Studies Abroad- graduation, Post-Graduation,
Courses conducted by CIMA-London, CPA in USA.
Quatum of loan- Studies in India- Maximum
Rs.10 lacs
Studies
Abroad-Maximum Rs.20 lacs
Security-
no collateral security upto Rs.7.5 lac. Documents to be executed by
the students and parents/guardians.
Margin- Upto Rs.4 lacs-Nil
Studies
in India-5 %, Studies abroad-15%
Rate of Interest-
Upto Rs.4 lacs- Prime
Lending Rate(PLR)
Above Rs.4 lac-
PLR+1%.
The interest to be debited quarterly/ half
yearly on simple basis during the repayment holiday period. Penal
interest at 2% be charged for above Rs.2 lac for the overdue amount and overdue period.
Repayment- Course
period + 1 year or 6 months after getting job, whichever is earlier. The loan tro be repaid in 5-7 years after commencement of repayment.
The accrued interest during the repayment holiday period to be added to the
principal and repayment in EMI. Interest concession of 1-2% may be provided if
the interest is serviced during gestation period.
IBA Model Scheme-Vocational Education
and Training
Quantum of Finance-Need
based with a maximum of
a.
For courses of duration upto
3 months- Rs.20000/-
b.
For courses of duration 3 to 6 months- Rs.50000/-
c.
For courses of duration 6 months to 1 year-Rs.75000/-
d.
For courses of duration above 1 year- Rs.150000/-
Margin-Nil
Repayment Period-
Moratorium period plus
a.
Courses upto 1 year- 2
to 5 years
b.
Above 1 year- 3to 7 years.
Moratorium
Period- For courses of duration upto 1 year- 6
months from the completion of the course.
For courses of duration above 1 year- 12 months from the
completion of the course
Credit Guarantee Fund Trust for Micro
& Small Enterprises (CGTMSE)
A joint effort of SIDBI and Govt. of India
Eligible Units-
New /Existing Micro Small Enterprises (Earlier SSI) including IT units with credit facilities
without any collateral security and or third party guarantee.
Credit Facilities-
Units sanctioned fund based and non- fund based upto
Rs.100 lac.
COMPOSITE GUARANTEE FEE:
|
Credit Facility
|
Annual guarantee Fee (AGF) % p.a.
|
|
Women, Micro Enterprises and Units
in North-East Region(incl. Sikkim)
|
Others
|
|
Upto Rs.5 lacs
|
0.75 *
|
1.00 *
|
|
Above Rs.5 lacs
and upto Rs.100 Lacs
|
0.85
|
1.0
|
*Of
sanctioned credit facility shall be paid upfront to the Trust by the
institution availaing of the guarantee cover within
such period as may be specified by the Trust.
5)
Companies all in Annual GF for fund based & non fund based limit sanctioned
up to Rs.5 Lakh, shall be borne by the bank. (varies from bank to bank.)
EXTENT OF GUARANTEE
COVERS
|
Category
|
Maximum Extent Of Guarantee Covers
|
|
|
Upto Rs.5 lac
|
Above Rs.5 lac and upto
Rs.10 lac
|
Above Rs.50 lac and upto
Rs.100 lac
|
|
Micro
Enterprises
|
85% of the amount in defaut with max upto Rs.4.25 lac
|
75% of the amount in default subject to a max of Rs.37.50 lac
|
Rs.37.50 lac plus 50% of amount in default
above Rs.50 lac subject to overall ceiling of Rs.50
lac
|
|
Women/NER/Sikkim (Other than credit facility upto
Rs.5 lac to Micro Enterprises)
|
80% of the amount in default subject to a maximum of Rs.40 lac
|
Rs.40 lac plus 50% of amount in default above
Rs.50 lac subject to overall ceiling of Rs.50 lac
|
|
All other category of borrowers
|
75% of the amount in default subject to a maximum of Rs.37.50 lac
|
Rs.37.50 lac plus 50% of amount in default
above Rs.50 lac-Overall ceiling of Rs.50 lac
|