Widening its outreach among Dalits, the government today decided to increase the share capital of National Scheduled Castes Finance and Development Corporation (NSFDC) from Rs 1,000 crore to Rs 1,200 crore for better coverage of schemes meant for SC/ST communities.
NSFDC is a central public sector enterprise (CPSE) under the aegis of the Ministry of Social Justice and Empowerment.
A meeting of the Union Cabinet, chaired by Prime Minister Narendra Modi today, gave its approval for fund enhancement of NSFDC.
"The approval will enlarge the quantum of funds available for economic activities, better coverage and enhanced outreach to double the Below Poverty Line (BPL) Scheduled Caste beneficiaries. Enhancement of the share capital would expand its ambit of coverage and increase disbursement of funds to larger sections of the economically deprived scheduled caste population," an official statement said.
NSFDC's target for the year 2015-16 is to cover 63,000 beneficiaries. NSFDC implements its schemes through 37 state channelising agencies in 32 states and Union territories.
NSFDC will also implement its schemes through select public sector banks, regional rural banks and other institutions, wherever required, to enhance its outreach, the statement said.
NSFDC provides loans through its channelising agencies at concessional interest rates for self-employment and economic development activities for its target groups.
It also sponsors skill and entrepreneurial training programmes to assist the unemployed members of Scheduled Castes in wage and self-employment.
"The central government has almost exhausted its contribution of authorised share capital of Rs. 1,000 crore by paying Rs 998.13 crore to NSFDC. Hence, it became essential to enhance the authorised share capital of the corporation to expand its ambit of work," the statement said.
