|ENHANCEMENT OF CEILING LIMIT
KHADI AND VILLAGE INDUSTRIES COMMISSION
Irla Road, Vileparle (West), Mumbai-400 056.
Date : 22-1-2002
As per the approval received from the Ministry of Agro
and Rural Industries; Government of India vide letter No.
G-21013(6)/2001-KVI dated 16th January, 2002, the following amendments are
made in implementation of REGP with immediate effect.
The investment ceiling to set up Village Industries
by individuals/Firms/Trusts/Limited Companies under the REGP Scheme is
enhanced from Rs. 10.00 lakhs to Rs. 25.00 lakhs.
Micro Finance Institutions/NGOs may be selected
carefully for implementation under the ambit of REGP for financing.
However, the Margin Money component should be released to them (MFIs/NGOs)
only after disbursement of the loan.
However, the above amendment is not applicable for the
projects already sanctioned (prior to 21-1-2002) by Banks/KVI Boards.
For the projects above Rs. 10.00 lakhs and upto Rs.
25.00 lakhs, rate of Margin Money will be 25% of Rs. 10.00 lakhs plus 10%
of the remaining cost of the projects.
This will come into force with immediate effect.
Chief Executive Officer
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