Union Credit Guarantee Scheme for Subordinate Debt (UCGSSD) to MSMEs

To support the promoters of the MSME units, which are stressed, viz .SMA-2 I NPA accounts as on30.04.2020 and which are eligible for restructuring as per RBI guidelines on the books of the Bank, will be given credit equal to 15% of their stake (equity plus debt) or Rs 75 lacs whichever is lower. This amount will be infused as equity in MSME units to enhance the liquidity and maintain Debt­ Equity ratio.

The scheme is backed by 90% guarantee coverage for this facility, which is operationalized through Credit Guarantee Fund Trust for MSEs (CGTMSE). This scheme is valid up to 31-03-2021.