Corporation Bank has been awarded the “Excellence Award on Empowering MSMEs 2016” instituted by the Federation of Industry, Trade and Services [FITS].
Bank Managing Director and CEO Jai Kumar Garg received the award from Kalraj Mishra, Union Minister for MSMEs, at New Delhi on Tuesday, a release from the bank said.
Micro, Small and Medium Enterprises (MSMEs) sector is emerging as a highly vibrant and dynamic one. The release said that MSMEs not only play a crucial role in providing large employment opportunities at comparatively lower capital cost but also helps in industrialisation of rural and backward areas. Realising the needs of this developing sector, Corporation Bank is offering a range of products and services.
To promote micro units to grow bigger, the bank ensures collateral-free loans up to Rs. 1 crore under Credit Guarantee Scheme of CGTMSE and bears the cost of guarantee cover for loans up to Rs. 10 lakh. Also to encourage entrepreneurs, interest rate concession to an extent of 50 bps is offered to such guarantee covered accounts.
To support the Stand Up India initiative of the Union government, Corporation Bank is offering 25 bps concessions in interest rate to women beneficiaries in addition to 50 bps concession available to guarantee covered accounts.
In association with well-known and reputed non-governmental organisations, the bank is empowering women in the rural areas of the State.
To make MSMEs lending environmentally sustainable, Corporation Bank has adopted Environment and Social Risk Framework (ESRF) guidelines of World Bank/SIDBI for SME borrowers.
