State-owned banks to help small businesses with loans in month-long drive

Banks will also consider requests from MSMEs for restructuring their stressed standard assets

Small businesses can visit public sector banks (PSBs) to finance their working capital or to restructure their loans, with the Union government launching a month-long outreach programme for micro, small and medium enterprises (MSMEs) on Saturday.

PSBs, during the program, will offer loans to increase the “working capital limits for standard accounts up to 25 per cent of the working capital limits”.

“MSMEs have complained of a lack of working capital. They have often said banks are not forthcoming in sanctioning working capital loans. On the other hand, bankers have said that though they have reached out to MSMEs, they do not