Published On : Wed, May 13th, 2020

FM: Rs 3 lakh-cr collateral-free loans for SMEs

Finance Minister Nirmala Sitharaman’s presser: “Beginning today, over the next few days we will come before you (the media) with a team to put forth the PM’s vision.

“We shall not forget that we do have a responsibility towards the poor, needy, the migrants workers, divyang and the aged of the country.

“In a major initiative, we announce Rs 3 lakh crore collateral-free automatic loans for businesses, including SMEs. Collateral free loan to be provided to SMEs with 12-month moratorium; 45 lakh units to benefit.

Borrowers with up Rs 25 cr outstanding and Rs 100 cr turnover are eligible. Government will provide stressed MSMEs with equity support; government will facilitate the provision of Rs 20,000 crores as subordinate debt.”