The Micro Enterprise & Special Program Division (MESPD) is responsible for implementing of  (i) Micro Credit Programs related with the poverty reduction, (ii) Special credit programs  related with employment generation and (iii) Financing of agro-based industries. 

          Bank has different micro-credit programs of its own & in collaboration with other agencies. For successful implementation of these credit programs specially poverty reduction credit programs it requires close supervision and monitoring. Considering Bank's manpower/field staff it is not always possible to ensure intensive supervision at the grass root level. To make the micro credit programs time & cost effective bank has initiated linkage program using intermediaries/collaborating agencies (GOs & NGOs). Collaborating agencies are responsible for organizing the   target  groups   (conducting   survey,   formation  of   groups,  providing   training  etc.)   including   supervision  and recovery of credit .

             The main features of different micro-credit programs are narrated below:-

1.  Diversified credit program       -1992.    

Objectives :

   

Area of operation :

   

Activities & Appraisal :

   

Associate agencies :

   

Approach :

   

Term :

   

Security :

   

Disbursement :

   

Repayment :

   

Rate of interest :

   

Delegation :

   

   

   

   

Related Circulars/Letters :

   

 

2.Small Farmers & Landless Labourers Development Project(SFDP)-1976 

Objectives

 

Collaborating agency

 

Activities

 

Approach

 

Term

 

Security

 

Rate of interest

 

Disbursement

 

Repayment

 

Delegation

 

 

 

Related Circular/letter

     

3.Swanirvar Credit Scheme -1978 

Collaborating agency

 

Area of operation :

 

Major activities under credit :

 

Approach :

 

Appraisal :

 

Security :

 

Rate of Interest :

 

Disbursement : 

 

Repayment :

 

Delegation :

 

Related circular/letter :

 

  

4.Co-operative credit for rural poor-1980 

Collaborating agency

 

Area of operation

 

Objectives

 

Major activities under credit

 

Proposal

 

Appraisal

 

Security

 

Disbursement

 

Delegation

 

Reference circular/letter

 5. Lending through NGOs -1996 

Target Group

 

Objectives

 

Proposal

 

Security

 

Disbursement

 

Delegation

 

Rate of interest

 

Repayment

 

Related Circular/letter

  

6. Grain Storage credit- 1991

Target Group

 

Area of operation

 

Objectives

 

Appraisal

 

Sanction

 

Disbursement

 

Security

 

Rate of interest

 

Repayment

 

Delegation

 

Related Circular/letter

 

7. Ghoroa Prokalpa/ Family based micro credit: 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Loan size

 

Security

 

Disbursement

 

Repayment

 

Documentation

 

Delegation

 

Reference letter

 

  

Entrepreneurship development Programs 

1.       Women Entrepreneur Development Credit program. 

Target Group

 

Purpose of loan

 

Eligibility of clients

 

Appraisal

 

Sanction/Delegation

 

Security

 

Disbursement

 

Delegation

 

Rate of interest

 

Repayment

 

Reference circular/letter

   

2.Cyber Cafe 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Documentation

 

Disbursement

 

Delegation

 

 

 

 

 

Rate of interest

 

Repayment

 

Reference circular/letter

 

3.Doctor's Loan Scheme: 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Debt-Equity Ratio

 

Security

 

Sanction

 

Documentation

 

Disbursement

 

Delegation

 

 

 

 

 

 

 

Rate of interest

 

Repayment

 

Reference circular/letter

 

4.Small business development loan scheme

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Debt-Equity Ratio

 

Documentation

 

Disbursement

 

Repayment

 

Rate of interest

 

Delegation

 

 

 

 

 

 

 

Major activities under loan

 

Reference circular/letter

  

Special Credit Program:

1.Seed Development Programme 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Documentation

 

Disbursement

 

Debt-Equity Ratio

 

Delegation

 

 

 

 

 

Repayment

 

Major activities under loan

 

Rate of interest

 

Collaborating agency

 

Reference circular/letter

 2. Loan for Handicapped/disabled people 

Target Group

 

Area of operation

 

Objectives

 

Proposal

 

Appraisal

 

Eligibility

 

Documentation

 

Disbursement

 

Repayment

 

Rate of interest

 

Major activities under credit

 

Reference circular/letter

 

3. Hybrid Milking Cow Rearing (HYV-Milch Cow):

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Loan size

 

Security

 

Disbursement

 

Delegation

 

Rate of interest

 

Repayment

 

Reference letter

   4.Credit for Forestry/Horticulture Nursery: 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Documentation

 

Disbursement

 

Rate of interest

 

Repayment

 

Reference circular/letter

 

5.Credit for Flower plantation & Garden: 

Target Group

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Documentation

 

Disbursement

 

Rate of interest

 

Repayment

 

Reference circular/letter

   

6.Credit Program for Goat Rearing: 

Target people

 

Area of operation

 

Objectives

 

Eligibility

 

Proposal

 

Appraisal

 

Sanction

 

Security

 

Documentation

 

Disbursement

 

Rate of interest

 

Repayment

   

Agro-based projects   .   

The agro-based projects (e.g. dairy, poultry, hatchery, fishery, mixed projects, agricultural processing units, agri.- products  storing and marketing etc.) have been considered as  thrust sector. 

Financing in this sector following aspects are to be       considered:   

(a)      Selection of entrepreneurs-                           -solvency,                          -good will,                          -professional and   technical experience,                         -capable to provide equity and security etc.

(b) Selection of projects-                          -cost- effective & viable,                          -suitable in respect of communication and infrastructural facilities,                          -demand of the produced goods & favourable marketing facilities.

(c) Debt-Equity Ratio- minimum margin 40%(Working Capital), 70:30 -Project loan.( 15% of total project cost as land value or actual value of land whichever is lower to be adjusted with the total equity).

(d) Land development, link road development, electricity connection etc. are to be completed from entrepreneur's own source. 

(e) Recommendation from branch and regional office in respect of loan sanction is required.

(f) Loan is to be sanctioned after completing technical and financial analysis of the project by the Head Office.

(g) Equity is to arrange  at a time or phase-wise as decided by H.O.

 

Security:i) Project loan:  a)1:1-the value of mortgaged property to be equivalent of loan                                                             

b) Hypothecation of machinery & equipments (floating assets of the   project).  

Working capital:a) 1:1.5 - the value of mortgaged property to be equivalent to 1.5 times of loan..

                           b) Hypothecation of goods produced & procured. 

Delegation : 

   

a. Project Loan Public Ltd Co.

   

   

   

b. W/C Loan Public Ltd Co.

  Private Ltd Co.

  Individual

 Ref: Circular/Letter: Ins. Circular 3401 Dt: 05/03/02                                     Ins. Circular 3449 dt: 10/08/02

  

Other Credit Programs: 

1. Credit for Employees-2000 

Target group

 

Objectives

 

Eligibility

 

Appraisal

 

Sanction

 

Security

 

Rate of interest

 

Repayment

 

Reference circular/letter

   2. Consumer Credit Scheme-2003

Target group

 

Objectives

 

Eligibility of Clients

 

Sanction

 

Security

 

Rate of interest

 

Repayment

 

Main activities under credit

 

Reference circular/letter

3.Mushroom Cultivation Loan Program:Objectives 

Area  of operation 

Eligibility 

Selection  of borrower 

Loan  application form & fee 

Mushroom  varieties 

Loan limit

Loan  repayment period

Security & Documentation

Rate of  interest

Repayment schedule

Sanction

Disbursement period

Reference

  

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