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Image  Union Agriculture Infrastructure Loan Scheme (UAILS)


Purpose

The scheme will facilitate setting up and modernization of key elements of the value chain including Post-Harvest Management Projects and Viable projects for building community farming assets .
Projects promoted by Central/State/Local Governments or their agencies under PPP for building community farming assets or post-harvest management projects.

Eligible Borrowers

Primary Agricultural Credit Societies (PACS), Marketing Cooperative Societies, Farmer Producers Organizations (FPOs), Self Help Group (SHG), Farmers, Joint Liability Groups (JLG), Multipurpose Cooperative Societies, Agri-entrepreneurs, Startups and Central/State agency or Local Body sponsored Public Private Partnership Projects.

Nature of limit

Term Loan

Margin

Minimum 25%

Quantum of loan

Assessed based on the Project cost.

Security

  • Prime Security:

Hypothecation of assets created out of Bank finance.

  • Collateral Security: Mortgage of immovable properties and or pledge of specified financial assets as per Banks policy guidelines .

Personal Guarantee

Personal guarantee of the Proprietor, Partners of the Firm, Directors of the company and of all mortgagor of collateral security.

Credit Guarantee Coverage

  • Credit guarantee coverage will be available for eligible borrowers for a loan upto Rs.2 crores.

Repayment period

  • The term loan component will be normally repayable within a period of 7 years inclusive of moratorium period (from 6 months to max 2 years )depending on the type of activity / investment in line with the projected cash flows.

Interest Subvention

  • All loans under this financing facility will have interest subvention of 3% per annum up to a limit of Rs. 2 Cr. This subvention will be available for a maximum period of 7 years.
  • In case of loans beyond Rs.2 Cr, then interest subvention will be limited up to Rs.2 Cr.

Security documents

  • Appropriate DPN note, Term loan agreement ,General Term loan agreement ,Letter of continuity, Letter of general lien and setoff , CIBIL undertaking , third party guarantee , letter of undertaking not to alienate hypothecated goods , Mortgage deed and any other document stipulated in sanction.

Rate of Interest - Please click here to know our latest interest rates

Conditions apply.

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