The government said 37 proposals involving Rs 10,590 crore have been approved as of September 11
The Ministry of Finance released a statement detailing the progress made under the Rs 30,000 crore Special Liquidity Scheme for non-banking financial companies (NBFCs), housing finance companies (HFCs) and microfinance institutions (MFIs) under the Atmanirbhar Bharat package.
In a release dated September 12, the government said 37 proposals involving an amount of Rs 10,590 crore have been approved as of September 11.
With regards to Additional Emergency Working Capital Funding for National Bank for Agriculture and Rural Development (NABARD), the government said Rs 25,000 crore had been disbursed as of August 28.
The remaining Rs 5,000 crore has been allocated to NABARD under the Special Liquidity Facility (SLF). The Reserve Bank of India has allocated this amount for smaller NBFCs and NBFC-MFIs. According to the ministry, NABARD is in the process of operationalising guidelines very soon.
NABARD has also launched a Structured Finance and Partial Guarantee Scheme in collaboration with two agencies and banks to help unrated NBFCs/MFIs access credit from lenders, the statement said.
This mechanism worked out with two such agencies and banks will enhance eligibility of credit by five to six times to those small MFIs who are unrated in the hope of reaching out to people in remote and unreached areas, the ministry added.
Once all the earmarked Rs 500 crore for this scheme is deployed, credit availed by those small NBFCs/MFIs to an extent of Rs 2,500 to Rs 3,000 crore is envisaged
As for the Rs 45,000 crore Partial Credit Guarantee Scheme 2.0 for NBFCs, HFCs and MFIs to do fresh lending to MSMEs and individuals, the government said banks have approved portfolio purchases of Rs 25,055.5 crore as of August 28. It is currently in the process of approval/negotiations for an additional Rs 4,367 crore.