Home » Small and Medium Enterprises Act

Tag: Small and Medium Enterprises Act

Post
RBI norms for lending to small units
January 1, 2013January 1, 2013by In Infrastructure Finance

RBI norms for lending to small units

In view of the increase in price index and cost inputs, Reserve Bank of India revised sub-targets for lending to the micro and small enterprises sector. According to the new norms, banks must divert 40 per cent of total advances to the sector to micro (manufacturing) enterprises having investment in plant and machinery up to Rs 10 lakh. The existing limit is Rs 5 lakh. The revision is within the overall ceiling of Rs 25 lakh for micro enterprises as defined in the Micro, Small and Medium Enterpr