Interest Equalisation Scheme for MSME exporters: Revision of Interest subsidy

Reserve Bank vide its circular no. RBI/2018-19/81/DBR.Dir.BC.No.09/04.02.001/2018-19 dated November 29, 2018 announced that with effect from November 02, 2018 Interest Equalisation rate from 3% to 5% in respect of exports by the Micro, Small & Medium Enterprises (MSME) sector manufacturers under the Interest Equalisation Scheme on Pre and Post Shipment Rupee Export Credit. According to…

Definition of NPA and Asset Classifications

(This article  explains the definition of non-performing assets (NPAs), and basis on which accounts are classified into Special Mention Accounts (SMA) /sub-standard Assets, Doubtful assets, and Loss Assets. Income recognition and provisioning requirement are specified in the article.) Internationally income from Non-Performing Assets (NPAs) is not recognized on accrual basis but is booked as income only…

Monetary limit for filing cases in DRT rose up to Rs.20 lakh

The notification  dated  September 6, 2018 of finance ministry, Government of India increased the monetary limit up to Rs.20 lakh for filing loan recovery application in the Debt Recovery Tribunals (DRT) by banks and financial institutions. It is reported that there are 38,376 cases pending in 39 debt recovery tribunals (DRTs) in the country, as…