Relaxing Lending Norms to MSMEs
RBI steps up to ensure Access of credit to MSMEs! An online lending portal www.psbloansin59minutes.com with majority ownership of 6 Public Sector Banks (PSBs)/ Financial Institutions (FIs) along with their associated companies, has been launched which facilitates in principle approval for loans to Micro Small and Medium Enterprises (MSMEs) upto Rs.1 crore within 59 minutes from PSBs. Key features of the portal, inter-alia include enabling borrowers to connect with multiple banks without visiting the branch, financial technology (FinTech) based architecture with high level of information security, analysis of data from various data points, loan products in line with scoring models and assessment methods within approved credit policies, prima facie eligibility check for credit guarantee from CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises), etc. Government and Reserve Bank of India (RBI) have taken several steps to ensure access of credit to