ARF(FS)- Flexi-Credit
1. Objective: The object of the scheme is to provide integrated
credit which include term as well as capitalized working capital loans
for the small land holdings.
2. Project area: The scheme is being implemented on pilot
basis at three districts Kollam,Kozhikkode,Kannur since 1999-2000 &
in Trivandrum (Perumkadavila Block)
3. Eligible activities: The scheme envisaizes the total credit
needs of the farm covering all agricultural &allied activities of
long term and short term nature.
4. Amount of loan: The bank should access the actual credit needs
of each borrower and prepare their own farm models based on potential
activities of the area for the purpose.
Different size of farm models are given below which include B.C &
WC (10-20%)
| Size
of Form |
Unit
Cost |
LT/
MT loan |
ST
Loan Agri |
MT
Loan Agri allied |
Maxi.
R.P. |
| Upto 25 Units |
10000 |
85% |
10% |
5% |
4 - 5 yrs |
| 25 - 50 Units |
17000 |
83% |
10% |
7% |
7 - 9 yrs |
| 50 - 100 Units |
30000 |
74% |
17% |
9% |
9 - 10 yrs |
| Over 100 Units |
40000 |
75% |
21% |
4% |
9 - 10 yrs |
5. Down payment: The down payment/beneficiaries contribution
under the scheme will be 5% and which will be inclusive of the
obligatory share capital contributers at the bank.
6. Mode of repayment: The repayment period under the scheme
will be 10yrs .But in individual cases repayment period shall be fixed
depending on the projected cash flow.
7. Security: The security norms of loans will be as fixed by
KSCARDB under schematic loans as per the guidelines issued by RBI/NABARD/RCS
from time to time .
8. Interest rate: The interest rate will be fixed by the apex
bank from time to time in accordance with the guidelines issued by RCS/NABARD/RBI.
9. Reporting system: The PCARDB’s should maintain separate loan
accounts for loan sanctioned /disbursed under the scheme.The monthly
progress statements should be furnished in the prescribed formats.
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