SIDBI is the principal financial institution for the promotion, financing and development of industry in the small scale sector. The Small Industries Development Bank of India provides direct credit schemes for Medium Sector Enterprises
Details of the loans
Who is eligible for the loans?
- New or existing medium sector enterprises, &
- Service sector units with an overall project cost above Rs.25 crore and upto Rs.250 crore with Bank’s assistance not exceeding 50 crore.
Type of Unit
The loans are only to Medium Sector Companies which are Private Limited or Public Limited companies.
Type of Loans
The type of loans given to the SSIs as given above are majorly term loans (loans which have a fixed period in which the repayment has to be done). The bank also provides loans for working capital term loan requirements of the industries. On a case to case basis the SIDBI also supports the industries by providing Bill discounting support. SIDBI also supports MSEs by providing Investment products such as debentures, optionally convertible cumulative preference shares, zero coupon bonds, etc.
Currency of Loan
The loans are disbursed both in Indian rupees and where needed in foreign currency also.