In wake of the COVID-19 pandemic, SIDBI, continuing its responsiveness, has launched special schemes for supporting MSMEs through banks, NBFCs and MFIs. This scheme is supported by the special liquidity facility of INR 15,000 Cr provided by the Reserve Bank of India to SIDBI, to support MSME sector and meet sectoral credit needs.
These schemes cover all eligible entities having investment grade ratings irrespective of the size of the organization to ensure wider coverage.
Key Features and Requisites
|Scheme for liquidity support to MSMEs through NBFCs||Scheme for liquidity support to MSMEs through MFIs||Special refinance scheme for MSE to provide liquidity support|
|Objective||To provide liquidity support to MSMEs impacted due to COVID-19, through NBFCs including Fintech NBFCs. The scheme would provide resource support to NBFCs by way of term loans to ensure operational continuity and promote onward lending to MSME sector||To provide liquidity support to MSMEs impacted due to COVID-19, through MFIs. The scheme would provide resource support to MFIs by way of term loans to ensure operational continuity and promote onward lending to MSME sector||To support the MSEs by facilitating flow of credit to this sector by ensuring sufficient liquidity in the hand of intermediary Financial Institutions|
|Type and Eligibility||
Scheduled commercial banks (Public, Private, Foreign) and Small Finance Banks (SFBs).
SIDBI's assistance will be available under the scheme to those scheduled banks having sizeable outstanding portfolios to MSEs/micro-credit and sound financials with following eligibility criteria:
For Banks (other than SFBs):
|Eligibility Activity/Beneficiaries||Facilities extended to MSMEs for bonafide business purposes||Facilities extended to microfinance borrowers/clients by the MFls||
|Tenor||The loan shall be repaid in bullet instalment after 90 days from date of drawl or such date as may be decided by the bank||The loan shall be repaid in bullet instalment after 90 days from date of drawl or such date as may be decided by the bank||Generally, 90 days. In deserving cases could be extended longer (to be reset every 90 days, linked to prevailing repo rate)|
|Security||Need based security as per bank's extant norms||Need based security as per bank's extant norms||As per the General Agreement|
|Processing Fee||0.10% of sanctioned amount subject to a maximum of INR 5 Lakh along with applicable GST||0.10% of sanctioned amount subject to a maximum of INR 5 Lakh along with applicable GST|
Helpline numbers (Between 10 am to 6 pm on all working days)
Scheme for special liquidity support to MSMEs through NBFCs: 8238804670
Scheme for special liquidity support to MSMEs through MFIs: 8795818198
Special Refinance scheme for MSE to provide liquidity support: 9167060570