PSBs disburse Rs 41,269 cr 'loans in 59 minutes' over three years

201,000 loan proposals of Rs 39,580 crore disbursed in the business loan category; 17,791 retail loans amounting to Rs 1,689 crore also disbursed

Public sector banks have disbursed business and retail loans of about Rs 41,269 crore through the psbloansin59minutes.com portal, between September 2018 and February 2022.

About 201,000 loan proposals of Rs 39,580 crore have been disbursed in the business loan category and 17,791 proposals amounting to Rs 1,689 crore have been disbursed in the retail loan category through psbloansin59minutes.com from September 25, 2018 to February 28, 2022, Minister of State Bhagwat Kisanrao Karad informed Rajya Sabha.

The initiative was announced in 2018, to provide in-principle approval for loans to micro, small and medium enterprises up to Rs 1 crore within 59 minutes. The portal run by Small Industries Development Bank of India (Sidbi) by onboarding five public sector banks, now provides in-principle approval to avail loans up to Rs 5 crore in 59 minutes, according to its website. The portal was announced to set a new benchmark in loan processing, and to reduce the turnaround time from 20-25 days to 59 minutes. Subsequent to the approval, loans are disbursed in 7-8 days.

In over three years, most loans were disbursed to about 25,834 borrowers in Maharashtra amounting to Rs 5,220 crore followed by Uttar Pradesh where 30,732 applicants were disbursed Rs 4,434 crore through the instant loan processing portal. After Maharashtra and UP, about Rs 3,864 crore loans were disbursed to 20,485 applicants from Gujarat, and Rs 3043 crore to 14,471 borrowers in Punjab.

State	Loan disbursed	Amount disbursed (in Rs crore)
Maharashtra	25,834	5,220
Uttar Pradesh	30,732	4,434
Gujarat	20,485	3,864
Punjab	14,471	3,043
Haryana	8,460	2,507
Rajasthan	10,108	2,500