A petition has been filed with the Coimbatore District Collector by the Federation of Coimbatore Industrial Associations (FOCIA), to request banks to provide loans to entrepreneurs holding current account at banks, as per the government's order.
Coimbatore: A petition has been filed with the Coimbatore District Collector by the Federation of Coimbatore Industrial Associations (FOCIA), to request banks to provide loans to entrepreneurs holding current account at banks, as per the government's order.
The FOCIA stated, in the petition, the Central government has announced Rs.3 lakh crore loans to businesses to help them revive from the ongoing economic crisis. Banks are currently offering loans to the customers who had taken machinery and investment capital at their banks, on 20% of their remaining loan amount.
However, banks in Coimbatore that have more than 20,000 current account customers have been denying loans tomicro entrepreneurs. The banks have stated that the loan scheme announced by the government does not have any announcements for the granting of loans to micro entrepreneurs.
The COVID-19 crisis has brought these entrepreneurs to their knees as they have not been able to pay rent for their home nor the factories for the past three months. They have been struggling to satisfy even their basic needs. It is therefore another blow when the banks refuse to grant them the loans that the government has announced to ease their burden.
The assistance offered by the government is most needed by the micro and small entrepreneurs of the country. The government and the banks must therefore come forward to provide loans to those entrepreneurs who have current accounts and operate daily expenses through those accounts at the banks.
The Coimbatore District Collector was informed of the banks' denial to provide loans and a request has been placed to consider the provision of loans, on June 9, 2002 by the FOCIA.
The FOCIA stated, in the petition, the Central government has announced Rs.3 lakh crore loans to businesses to help them revive from the ongoing economic crisis. Banks are currently offering loans to the customers who had taken machinery and investment capital at their banks, on 20% of their remaining loan amount.
However, banks in Coimbatore that have more than 20,000 current account customers have been denying loans tomicro entrepreneurs. The banks have stated that the loan scheme announced by the government does not have any announcements for the granting of loans to micro entrepreneurs.
The COVID-19 crisis has brought these entrepreneurs to their knees as they have not been able to pay rent for their home nor the factories for the past three months. They have been struggling to satisfy even their basic needs. It is therefore another blow when the banks refuse to grant them the loans that the government has announced to ease their burden.
The assistance offered by the government is most needed by the micro and small entrepreneurs of the country. The government and the banks must therefore come forward to provide loans to those entrepreneurs who have current accounts and operate daily expenses through those accounts at the banks.
The Coimbatore District Collector was informed of the banks' denial to provide loans and a request has been placed to consider the provision of loans, on June 9, 2002 by the FOCIA.