Thread by @Sanju_Verma_

Anidst the #COVID19 pandemic,the @narendramodi govt came out with a slew of steps to help #MSME sector-- a Rs 40000Cr fund to help distressed units by way of #Equity, Quasi-Equity& #SubordinatedDebt, guaranteed to the tune of 90% by govt's #CGTSME is easing stress!

#Modinomics💪

Read👇 to know about eligibility criteria of #MSMEs that qualify, difference between #SeniorDebt & Subordinate Debt,Intetest Rate that will be charged,etc..

#economy

Amidst*

90% of the funds would be provided by #CGTSME and only 10% to be infused by promoters--this is a win win for stressed #MSMEs,lending institutions&will rein in #NPAs too

#EconomyOnTrack

Recovery guidelines enunciated below👇 #MSMEs
#economy #EconomyOnTrack

Under #CGSSD scheme, personal loans will be provided to promoters of MSME units..promoter of #MSME unit will be given credit equal to 15% of his or her stake in company or Rs 75 lakh,whichever is lower!Loans under this scheme are to be operated as separate loan account

#Economy

Maximum tenor for repayment will be 10 years,with 7yr moratorium on principal payment;It means interest has to be paid only for first 7yrs

Principal amount to be repaid within 3yrs of completion of #moratorium

Pre-payment of loan permitted under the scheme with no extra charge

#MSMEs whose accounts were standard as on March31,2018,with regular operations,standard or NPA through FY19,FY20 are eligible for the scheme

Scheme is also valid for stressed MSMEs which were SMA-2& #NPA as of April 30,2020&eligible for restructuring as per #RBI norms
#Economy

@narendramodi govt will provide support of Rs 4000Cr to #CGTMSE

Scheme will provide guarantee coverage for #CGSSD,so that it can in turn,provide sub-debt support for #MSME restructuring

Trust will cover 90% guarantee &remaining 10% will be from concerned promoter

#Modinomics