Money & Banking

CBoI ties up with NABFOUNDATION to provide loans to self-help groups

Our Bureau. Mumbai | Updated on January 07, 2021 Published on January 07, 2021

Central Bank of India (CBoI) and NABFOUNDATION, on Thursday, entered into a Memorandum of Understanding (MoU), whereby working capital will be provided by the bank to all self-help groups (SHGs) which have an account with it and undertake the Nabard-sponsored ‘My Pad My Right’ project.

“This cheap, collateral-free credit support is just what the rural women will need as they take up manufacturing on a regular basis,” said NABFOUNDATION, which is a wholly-owned subsidiary of the National Bank for Agriculture and Rural Development (Nabard), in a statement.

Under the project, one pad making machine will be sponsored per district across the country to a well-functioning SHG, along with the requisite capacity building support, with total grant support pegged at nearly ₹5 lakh per unit, according to the statement.

The project would see Nabard providing a total support of nearly ₹50 crore over the next three years, it added.

GR Chintala, Chairman, Nabard, noted that the project addresses rural women’s health issues and also provides a dynamic rural livelihood option on a sustainable basis.

Pallav Mohapatra, Chairman, CBoI, said the bank is committed to providing cheap and collateral-free credit support to rural women.

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Published on January 07, 2021
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