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SELF HELP GROUPS (SHGs)


i) UNIT COST: NSTFDC provides financial assistane for Scheme(s)/ Project(s) having unit cost upto Rs. 25.00 lakh per SHG.

ii) QUANTUM OF ASSISTANCE: NSTFDC provides term loan upto 90% of the cost of the Scheme/Project subject to investment per member not exceeding Rs. 50000/- per unit.
This is further subject to the condition that the Channelising Agencies (SCAs) contribute their share of loan as per their norms and arrange/provide the eligible subsidy. The SCAs may also endeavour to tie up financial assistance from other sources if any.

iii) WORKING CAPITAL: Upto 30% of the cost of the scheme/ project is considered as part of the cost of project/scheme.

iv) MINIMUM CONTRIBUTION FROM SHG's: At the rate of 10% of the cost of the project/ scheme.

v) INTEREST RATE: NSTFDC shall charge interest @ 5% per annum (on NSTFDC’s share) from the     SCAs and in turn SCAs may charge upto 8% p.a. from the SHGs.

vi) NEW/ EXISTING PROFIT MAKING SHG's: SHGs shall be extended the financial assistance for the viable unit(s) by NSTFDC through the SCAs subject to fulfilling the primary condition of income limit for ST members.

Note:The other lending norms as applicable under Term Loan scheme having unit cost upto Rs. 10.00 lakh shall also be applicable for funding to SHGs.

By: PWT& FD