New Delhi: Finance Minister said that MSME will be given 3 lakh crore unsecured loan. This will benefit 45 lakh MSMEs. In total she announced six relief measures for the small and medium enterprises which employ 11 crore people and have been hit hard on account of Covid-19 disruptions.
This follows after Prime Minister Narendra Modi, in his nationwide address on Tuesday, announced an economic package worth Rs 20-lakh crore for poor migrants’ population and small businesses to fight virus. Detailing of the package was to be done through the finance ministry.
As per the loan relief for MSMEs, borrowers with up to Rs 25 crore outstanding and Rs 100 crore turnover would be eligible, the FM said. These loans will have four-year tenor with moratorium of 12 months on principal repayment, and the government will provide 100 per cent guarantee to banks and NBFCs on principal and interest.
Further, this scheme can be availed till Oct 31, 2020, and no guarantee fee neither fresh collateral would be required.
