MSMEs sanctioned Rs. 280 crores in Coimbatore Zone
Coimbatore: CODISSIA along with the Joint Council of Associations in Coimbatore welcomed the measure of SBI Coimbatore sanctioning Rs. 280 crores for MSMEs in Coimbatore based on the scheme announced by the centre for reviving MSMEs from the economic distress.
State Bank of India, Coimbatore Branch has sanctioned 500 Units and disbursed today covering a sum of Rs.280 crores for MSMEs in Coimbatore Zone, consisting of Coimbatore, Nilgiris, Tirupur, Erode, Salem, Karur and Namakkal. This includes Coimbatore City having loans disbursed to 152 companies today to the tune of ₹58 crores.
The salient features of the loan include:
- To augment networking capital, meet operating liabilities and restart operations once the lockdown is over.
- Loan amount up to a maximum of 20% of Fund based outstanding as on 29.02.2020.
- Rate of Interest; 0.75% above EBLR (presently 7.05%) present effective rate- 7.80% p.a. and a maximum of 9.25% p.a. during the entire tenor of the loan. Interest is applied at monthly intervals.
- Repayment period: Principal Moratorium: 12 months. Instalments (principal repayment): 36 monthly instalments after moratorium., interest to be serviced as and when applied.
-Security: Extension of charge over the existing primary and collateral securities including mortgages created in favour of the Bank (in case of Multiple Banking/Consortium, the security charge will be on pari-passu basis).
S. Ravi Kumar, Dy. General Manager (B&O), State Bank of India informed that for Micro Units, under Mudra Loan, 20 units below Rs.10 lakhs were sanctioned and disbursed to the amount of Rs.1 crore for Coimbatore.
SBI has given time for three months for the execution of MOD Documents. For the above, CODISSIA along with Joint Action Council has represented for waiver of charges for MOD to the Chief Minister through Minister S. P. Velumani.