SBI to provide loans to MSMEs based on GST-related input credit claims
Mumbai: State Bank of India (SBI) Thursday launched a product to provide working capital loans to micro, small and medium enterprises (MSMEs) based on their input credit claims related to goods and service tax (GST).
The loan, to be given for nine months, will be given outside the sanctioned bank finance. The loan amount will be either 20% of existing fund-based working capital limit or 80% of input tax claim due, whichever is lower.
MSMEs will have to submit a certificate from their chartered accountant confirming the input credit claims to avail of these loans. The facility is available till end of March 2018.
SBI will give moratorium on repayment for the first three months.
Accordingly, repayments can be done either in one bullet payment or in six monthly instalments after the moratorium period is over.
- India’s 2018 elections, earnings key for Asia’s priciest stock market
- Markets Live: Sensex trades lower, Nifty below 10,300, Dr Reddy’s shares rise 5%
- 10-year bond yield hits near 17-month high, rupee weakens against US dollar
- Gujarat Elections 2017 LIVE: Narendra Modi to begin last day of campaign aboard a seaplane
- Bitcoin’s first 24 hours on Wall Street feed euphoria and doubts