Indian Bank unveils five special emergency loans

Chennai, Mar 26 (PTI): Public sector Indian Bank on Thursday announced five special emergency loans for its customers, including corporate clients, Self-Help Groups, retail borrowers and pensioners. The five special emergency loans -- the IND-COVID Emergency Credit Line for corporate customers, IND-MSE COVID Emergency loan for micro, small and medium enterprises, SHG- COVID (SAHAYA Loan) for self help groups, IND-COVID emergency salary loan for retail borrowers and an emergency pension loan for pensioners, the city-based bank said in a press release.

"In these challenging times, Indian Bank is committed to stand by its customers. We expect that these credit lines will meet the immediate liquidity requirements of businesses," Indian Bank Managing Director Padmaja Chunduru said. "SHGs has always been an important part of our business and with our initiatives we ensure that the group gets all the desired support for financial independence," she said.

"We have made these loans repayable over a longer period business is back on track again," Chunduru, who is also the CEO of the bank, said. The IND-COVID Emergency Credit Line would provide additional funding of upto 10 per cent of the working capital limits (both fund based and non-fund based limits) with a maximum limit of Rs 100 crore.

Large corporates and medium enterprises would be eligible for the loan. The tenure of the loan would be for 36 months with an initial moratorium of upto six months and would carry fixed interest rate of 1 year MCLR (Marginal Costs of Funds-based Lending Rate), the release added.