Kerala govt to provide loan to 2000 entrepreneurs without surety

Thiruvananthapuram, Nov 16 (KNN) In a bid to promote entrepreneurship ventures, the Kerala Financial Corporation (KFC) will provide a loan of Rs 1 lakh to 2,000 potential entrepreneurs without demanding any security or collateral.

Reportedly, Chief Minister's Entrepreneurship Development Programme (CMEDP) launched to help those who have lost jobs due to the COVID-19 outbreak, is implemented by the Kerala Financial Corporation (KFC).

"It is quite difficult for the beginners, especially small-scale entrepreneurs, to raise the capital. Hence, we have decided to take a liberal approach in the sanctions for MSMEs," media reports quoted KFC CMD Tomin J Thachankary as saying.

He further said that 50 per cent of the loan amount will be sanctioned in advance, within a week of loan approval adding, ''applications by women and physically-challenged persons will be sanctioned on a fast-track mode.''

The interest rate is 7 per cent with 3 per cent interest subvention and repayment period is three years.

According to Thachankary, the corporation will also help the applicant to obtain MSME registration and PAN card.