PNB Financial Assistance to SHGs: Check the assistance provided by the bank to SHGs under NRLM

For the overall economic development and financial inclusion, it is very important to focus on the development of both the rural and urban areas. Several schemes and plans are being offered for the villages and underdeveloped zones to help them grow economically.

In a similar move, Punjab National Bank (PNB) has said that self-help groups will be given financial assistance ranging from Rs 1 lakh to Rs 10 lakh under National Rural Livelihood Mission (NRLM).

The information was shared by the bank on its official Twitter account where it said “Now the villages will move ahead on the path of development with the National Rural Livelihood Mission (NRLM). Self-help groups will be given financial assistance ranging from ? 1 lakh to ? 10 lakh.”

Here are some of the schemes offered by the bank:

1. National Rural Livelihood Mission(NRLM):

Women SHGs consisting of 10-15 persons and in difficult/ remote tribal areas/groups with disabled persons (minimum of 5 persons) are eligible for this scheme. The revolving fund is Rs 10,000 to Rs 15,000 per SHG while the quantum of credit is Rs 50,000 to Rs 10 lakh per SHG. The effective rate of interest for a maximum of Rs 3 lakh per SHG will be 7 percent p.a.

2. Deendayal Antyodaya Yojana-National Urban Livelihoods Mission (DAY-NULM):

Urban poor individual beneficiary desirous of setting up an individual micro-enterprise for self-employment and a Self Help Group (SHG) or members of SHG constituted under DAY-NULM or a group of urban poor for Self-Employment are eligible for the scheme. It can be noted that the group enterprise should have minimum of 5 members with a minimum of 70 percent of the members from Urban poor families.

The loan amount offered for Individual Enterprise is up to Rs 2 Lakh and for Group Enterprise is up to Rs 10 Lakh. It can be noted that no margin money for loan up to Rs 50,000 and for higher amount of loans, preferably 5 percent will be taken as margin money and it will not be more than 10 percent of project cost in any case. Rate of interest will be as prescribed by the bank from time to time.

3. Scheme for Rehabilitation of Manual Scavengers (SRMS):

Scavengers and their dependents irrespective of their income who are yet to be provided assistance for rehabilitation under any scheme of Govt. of India/State Govt are eligible for the scheme.

4. Differential Rate of Interest (DRI):

The eligibility for the scheme is that the borrower`s family income from all sources must not exceed Rs 24,000 p.a. in urban or semi-urban areas and Rs 18,000 p.a. in rural areas. The loan amount is Rs 15,000 for gainful employment and Rs 20,000 for housing (for SC/STs only). The rate of interest will be 4 percent p.a.

5. Self Help Groups (SHGs):

Self Help Groups consisting of 10-20 members, preferably have homogeneous background and interest and should have successfully undertaken savings and credit operation from its own resources are eligible for the scheme. The Quantum of credit given in proportion to the savings mobilized by the Group. The proportion of savings to loan could vary from 1:1 to 1:10 depending upon the assessment of the Branch.

- Advertisement -DISCLAIMER
We have taken all measures to ensure that the information provided in this article and on our social media platform is credible, verified and sourced from other Big media Houses. For any feedback or complaint, reach out to us at informalnewz@gmail.com