Finance ministry pushes public sector banks to expedite loans for weavers

Handloom organizations also benefit from an interest subvention, receiving loans at a concessional interest rate of 6 per cent for three years

The finance ministry has directed public sector banks (PSBs) to ensure prompt sanctioning and disbursement of loans to eligible handloom beneficiaries to boost credit assistance to players via term loans as well as working capital needs.

 

“PSBs have also been directed to submit claims for margin money, interest subvention, and credit guarantee fees through the Handloom Weaver Mudra Portal. To facilitate access and streamline processes, a centralised portal has been developed in collaboration with Punjab National Bank,” said a senior government official.

 

A component of the National Handloom Development Programme, the concessional credit scheme for weavers under the Pradhan Mantri