1. Term Loan

1. Term loan assistance is provided for projects costing up to Rs.5.00 Lacs. However for the purpose of sanitation related economic activities term loan assistance for projects costing upto Rs.10.00 lacs may be financed.
2. Promoter's contribution not to be insisted upto project cost ofRs. 2 Lacs. For more than 2 Lacs project cost cases, minimum promoter's contribution to be insisted would be 5%.
3. Term loan can be provided up to maximum of 90% of the unit cost and the remaining 10% is to be provided by the State Channelising Agencies (therein after referred to as SCA) in the form ofloan including subsidy and promoter's contribution if any and all other available sources of funds.
4. Interest Rate:-

v. The repayment schedule ofloan would be fixed strictly on the basis of income generating capacity of the unit with proper moratorium by the State Channelising Agencies and the National Corporation in the beginning itself.

2. Bridge Loan

1. Bridge Loan may be provided against investment subsidy sanctioned or any other source of funds sanctioned by any recognised agencies for projects costing upto Rs. 5 lakhs; but not disbursable within implementation period of the subject.
2. Interest rates on bridge loan is as per NSKFDC term loan interest rates.
3. Sanctioning agency should assure to release Subsidy or other sources of funds direct to NSKFDC or its State level channelising agencies within a maximum period of 2 years from the date of first release of bridge loan by NSKFDC.

3. Micro Credit Finance

a) Micro Credint Finance (Regular)

1. Term loan assistance for Micro Credit Finance (herein after referred to as MCF) for engaging in small and petty trade/ business and sundry income generating activities is provided to the SCAs for projects costing upto Rs.5.00 lacs restricted to Rs.25,000/- per borrower. The SCAs may implement MCF through reputed Non-governmental Organisations (hereinafter referred to as NGO).
2. Term loan can be provided up to the maximum of 90% of the cost of project cost and the remaining 10% is to be provided by the SCA.
3. Rate of interest shall be:
   

   NSKFDC to SCA		2%
   SCA Beneficiary	not exceeding	5%

b) Mahila Samridhi Yojana (MCF for women)

1. Term loan assistance for MCF for the same purpose and financing pattern as stated at 1) and 2) of A above may be provided to Safai Karamchari and Scavenger Women and the dependant daughters of Safai Karamcharis and Scavengers.
2. The rate of interest for the Mahila Samridhi Yojana shall be:
   

   NSKFDC to SCA		1%
   SCA to Borrower	not exceeding	4%

4. Schemes/ Projects upto Rs. 1.00 Lac

1. The SCA may draw funds from NSKFDC based on the schemes/projects in the annual action plan or the summary details contained in the letter of request for drawal of funds for schemes/ projects already approved by NSKFDC for the SCA concerned and approved schemes contained in the compendium of NSKFDC.
2. The funds shall be sanctioned for projects/ schemes not exceeding Rs.1.00 lac per project/ scheme by the SCA.
3. The SCA are required to utilize the advance funds within the utilization period of 90 days.
4. In respect of the schemes/ projects not covered under sub-clause 1) above the SCA shall appraise the feasibility and viability of the projects/ schemes and submit it with their recommendations to NSKFDC for one-time approval of the new schemes/ projects.
5. The funds drawn by the SCA shall attract rates of interest of the type of loans as prescribed in the LPG provided it is utilized within the utilization period.
6. The funds or the balance thereof, as the case may be, if refunded within the utilization period or not utilized within the utilization period shall attract interesr amount @ 3% along with the non-utilisation charges.

5. Education Loan

1. Term loan assistance to an individual student for pursuing professional or technical education of graduation and higher levels can be provided upto Rs.3.00 lacs or Rs.75,000/- per annum.
2. Term loan can be provided upto the maximum of 90% of the cost of the professional or technical course and the remaining 10% is to be provided by the SCA in the form of loan including subsidy or by the beneficiary student.
3. The rate of interest will be same as applicable to term loan.
4. The moratorium, besides being co-terminus with the course for which loan has been obtained by the student will have a further one year period of moratorium.
5. Detailed procedural guidelines is given in Annexure A-2

6. Working Capital

100 % working capital required by the unit should be made part of the unit cost and the NSKFDC would finance it as per existing terms and conditions of the term loan.

7. Grant for Skill & Entrepreneurial Development Programmes

1. Financial assistance in the form of 100% grant to the extent of Rs.I.OO lac per project may be provided to the State Channelising Agencies 9 for imparting trainings in skills, trades and entrepreneurial development for taking up income generating activities in the ISB (Industry, Service and Business) sectors.
2. Detailed procedural guidelines is given in Annexure A-1

ANNUAL REPORT 2007-08

CONTENT1

CONTENT2

CONTENT3

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