State-run banks disburse Rs 81,700 crore through ‘loan melas’

investments

State-run banks disbursed Rs 81,781 crore in the nine days of ‘loan mela’ from October 1-9, finance secretary said.

The secretary was addressing the media after the finance minister Nirmala Sitharaman met the heads of state-run banks for measures to boost the economy.

He said that an amount of Rs 34,342 crores was disbursed to new entrepreneurs while noting that the banks followed prudential norms while disbursing the loans.

Finance Minister Nirmala Sitharaman said the banks have sufficient liquidity, and efforts are being made to ensure that due payments are released to the micro, small and medium enterprises (MSME) sector by large corporates.

In order to ensure liquidity for small businesses, Sitharaman said that banks have been asked to provide bill discounting facility to the MSME sector against payments due from the large corporates.

The ‘loan mela’ was one of the ways in which the government wanted to boost demand in the economy which has been facing slowdown.

Another ‘loan mela’ will be held before Diwali from Oct 21-25.

The demand in the camps was robust and the secretary said that all the PSBs are maintaining their regulatory capital levels.

[“source=economictimes”]