₹100-cr. venture capital fund to be set up

A venture capital fund will be set up in the State with a corpus of ₹100 crore to facilitate the rapid growth of small-scale enterprises and start-ups.

Finance Minister K.N. Balagopal announced in the revised budget that the fund would be mobilised by involving the Kerala Financial Corporation (KFC), Kerala State Financial Enterprises Ltd. (KSFE), Kerala State Industrial Development Corporation (KSIDC), Kerala State Co-operative Bank and commercial banks, and through the deposits of Non-Resident Keralites.

The fund would aid fast-growing technical and non-technical enterprises. An experienced professional team would be formed to manage the fund. An amount of ₹1 crore has been earmarked for meeting the initial expenses of setting up the fund.

KFC loans

The Minister said the loan capacity of the KFC would be enhanced to ₹10,000 crore in five years. The KFC would sanction loans of ₹4,500 crore this financial year.

To those who had repaid loans on time till March 31, 2020, the KFC had sanctioned 20% of the loan amount additionally. In view of the second wave of COVID, ₹500 crore would be made available to extend the same facility again, the Minister said.

COVID-care products

The KFC will provide loans up to ₹50 lakh on liberal conditions to firms that manufacture COVID-care products under the Chief Minister’s Entrepreneur Development Project, Mr. Balagopal said.

The loan is for establishing units for manufacturing oxygen cylinders, oxygen generators, oxygen concentrators, liquid oxygen, ventilator, pulse oximeters, and portable X-ray machine.

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Printable version | Jul 30, 2021 2:17:48 PM |

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