Question : REFINANCING OF SIDBI



(a) whether the Government has any proposal to refinance the Small Industries Development Bank of India (SIDBI) to ease the liquidity stress of Micro and Small Enterprises; and

(b) if so, the details thereof?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)

(a) & (b): In order to ease the liquidity stress of MSMEs, the Reserve Bank of India has provided a refinance facility of an amount of Rs. 5,000 crore to SIDBI under the provisions of the Reserve Bank of India Act, 1934, The facility is aimed at direct liquidity support to finance receivables, including export receivable, to MSEs by SIDBI or for liquidity support to MSMEs through selected intermediaries, that is, banks, Non-Banking Financial Companies (NBFCs) and State Finance Corporations (SFCs).