Correct Answer : Kerala Financial Corporation (KFC)
Kerala Financial Corporation (KFC), a leading Kerala Government-owned Financial Institution, has enhanced the upper loan limit under the CM's Entrepreneurship Development Programme (CMEDP) to Rs 2 crore based on an order issued by the State Government as per the declaration made by Finance Minister while presenting the Budget 2022-23.
Now the Micro, Small and Medium Sector enterprises of the State will get loans at five per cent interest rate, a statement said.
The Government of Kerala will provide a subsidy of three per cent with the Corporation chipping in with two per cent to make the effective interest five.
The Corporation has so far assisted a total of 2122 units under the scheme and the target is to lend 2,500 enterprises in five years at the rate of 500 enterprises every year, for which the Corporation will set aside Rs 500 crore every year.
The age limit for SC/ ST entrepreneurs, women entrepreneurs and non-resident Keralites is 55 years. Loans are available for starting new ventures and modernising existing ones.
The loan will be made available up to 90 per cent of the project cost. Large projects will get even higher disbursements, in which cases, loans up to Rs 2 crore will be sanctioned at the rate of five per cent and the balance at normal interest rates.
KFC also declared business campaign with 50% waiver in processing fee for new MSME loans and 0.25% interest discount for top rated clients as part of International MSME day celebrations.
