RAJASTHAN STATE INDUSTRIAL POLICY

LIBERALISATION BY STATE LEVEL FILNANCIAL INSTITUTIONS

The State level financial institutions, Rajasthan State Industrial Development and Investment Corporation (RIICO) and Rajasthan Financial Corporation (RFC) are providing a variety of financial services to the industrial units.

29.2 Rajasthan Financial Corporation has recently taken following measures:

Delegation of powers for sanction of the loan raised at field level from Rs. 2 lakh to Rs.20 lakh.

A time limit of 30 days fixed for sanction of loan if basic requisite information is made available by the entrepreneur.

In principle clearance within a week of receipt of application.

Branches have been authorised to disburse loans in all cases (except joint finance cases) irrespective of loan amount or authority to sanction the loan.

Time limit of 7 days fixed for valuation.

Loan to be disbursed within 24 hours after valuation of requisite documents are made available at the time of valuation.

Rate of interest reduced by 1% in respect of loans to good borrowers.

Rate of interest for tourism projects has been reduced by 1% to promote tourism in the State.

Rebate on timely payment raised to 1%.

RIICO has taken following decisions:-

Apart from project financing and direct equity participation scheme like, lease financing, working capital loans, equipment financing and Bill Discounting are also being operated.

Project beyond project cost of Rs.10.00 crores would also be extended financial assistance.

Infrastructure projects related to industry or within the industrial areas would now be eligible for financial assistance.

A rebate of 2% in interest rate would be provided to all those borrowers on a quarterly basis who make repayment in due time.