Jammu & Kashmir and Ladakh are recently constituted as Union Territories (UTs) in the country. To promote the business activities including exports in the UTs, Government has emphasized to take special initiatives and strategies. The Bank has thus taken steps to fast track disbursement of the loans and revise timelines.
- In view of the above, PNB Shikhar Scheme has been formulated for MSMEs to meet short term as well as long term credit requirements in the regions of Jammu & Kashmir and Ladakh.
- The highlights of PNB Shikhar Scheme are as under:
✓ Special focus to the MSME borrowers including exporters in the region of J&K and Ladakh
✓ Faster TAT as compared to normal cases.
✓ Concessional Rate of Interest and Service charges as compared to bank’s extant guidelines.
- The scheme has been launched to achieve Govt. of India drive of augmenting economic activity in the regions of Jammu & Kashmir and Ladakh.
- Features of schemes are as under:
| SN | PARTICULARS | DESCRIPTION |
|---|---|---|
| 1. | Name of the Scheme | PNB Shikhar for Jammu & Kashmir and Ladakh |
| 2. | Eligibility | Scheme is applicable only in Union Territories of Jammu & Kashmir and LadakhProprietorship, Partnership firms, Limited Liability Partnerships (LLPs), Private / Public Ltd. Cos. and other legal entities, existing as well as new borrower. |
| 3. | Purpose | To meet various credit requirements i.e. short term as well as long term for the MSMEs of the Union Territories of Jammu and Kashmir and Ladakh specifically for Hotel Industries, Tour & Travel, Transport, Manufacturing Industries, Export of goods and services, Ship/Boat /Shikara Industry, traditional activities of the UTs and any other activities related to MSME business. |
| 4. | Quantum of Loan | Maximum- Upto ₹ 200 lacs (Proposals upto ₹ 10.00 Lacs shall be classified under Pradhan Mantri Mudra Yojana (PMMY) ofour Bank. Accordingly, no collateral shall be sought for loan upto ₹ 10.00 lakh and CGTMSE guarantee coverage shall be obtained) |
| 5. | Nature of the facility | ✓ Term loan ✓ Working capital including Export Credit ✓ Non-fund based limit |
| 6. | Repayment | ✓ Term Loan- 7 years including moratorium period maximum upto 12 months on merits (However interest is payable as and when due) ✓ Working Capital- 12 months subject to annual renewal |
| 7. | Rate of Interest | Rate of Interest (ROI) under the scheme shall be as under: Rate of Interest (ROI) under the scheme shall be as under. For loans up to ₹50,000, the ROI is RLLR+BSP+0.10%, while for loans above ₹50,000 and up to ₹20 Lakhs, it is RLLR+BSP+1.00%. For loans above ₹20 Lakhs and up to ₹200 Lakhs, the applicable rate is the CARD Rate or RLLR+BSP+1.35%, whichever is lower. For export credit, the ROI is RLLR+BSP+0.35% for pre-shipment and post-shipment advances. The rate for overdue export credit is RLLR+BSP+4.00%, while Export Credit not Otherwise Specified (ECNOS) is charged at RLLR+BSP+6.00%. ✓ In case where collateral security is available and value of collateral security offered by the customer is more than 75% then additional 0.50% concession in Rate of Interest can be provided by the respective sanctioning authority, subject to minimum of RLLR+BSP. |
| 8. | Margin | Stocks — 20% Book Debt — 25% Term Loan – Others — 20% Term loan – Purchase of Land — 50% ✓ Reduction in margin by 10% in Stock & Book Debt can be allowed on case to case basis. ✓ In case of purchase of land, margin shall be 50% of the cost of land (including cost of registration). However, loan amount for the purchase of the land shall not be more than 50% of the total term loan amount sanctioned. Non-Fund based limit: Minimum cash margin of 15% is required |