Collateral Free loans - Micro and Small Enterprises(MSEs) - આરબીઆઈ - Reserve Bank of India
Collateral Free loans - Micro and Small Enterprises(MSEs)
RBI/2009-10/129 August 24, 2009 The Chairman/Managing Director Dear Sir, Collateral Free loans – Micro and Small Enterprises(MSEs) Please refer to our circular RPCD.SME&NFS. BC No. 84A /06.02.31(P) /2008-09 dated January 20, 2009 regarding extending collateral free loans upto Rs. 5 lakh sanctioned to the units of MSE sector (both manufacturing and service enterprises) as defined under MSMED Act, 2006. We have received enquiries as to whether these guidelines are advisory or mandatory in nature. It is clarified that these guidelines are mandatory and banks must not obtain collateral security in the case of loans upto Rs. 5 lakh extended to all units of the MSE sector. 2. You are requested to issue suitable instructions to your branches/controlling offices for meticulous and strict compliance in this regard. 3. Please acknowledge receipt.
(R.C.Sarangi) |