Economy

Uttar Pradesh

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what are the loan requirements to maintain the status of small finance bank ?

The SFBs are required to extend 75% of their loans to sectors under priority sector lending.

The SFBs are required to extend 50% of their loans to sectors under priority sector lending.

The SFBs are required to extend 70% of their loans to sectors under priority sector lending.

The SFBs are required to extend 25% of their loans to sectors under priority sector lending.

Explanation:

The SFBs are required to extend 75% of their loans to sectors under priority sector lending (PSL)
such as loans to agriculture, micro, small and medium enterprises, education, housing, and others.
50% of the SFB loan portfolio should constitute loans and advances upto 25 lakh.

By: Sushank rana

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