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KEY POINTS

  • Is your business adversely affected by the Pandemic ?
  • SIDBI can help you tide over these difficult times by restructuring your loan accounts under RBI guidelines for Restructuring of MSME Advances.

Restructuring of MSME Advances under Direct Finance Schemes

  • Should be classified as an MSME as on March 31, 2021
  • The borrower’s account should have been a ‘Standard Asset’ (not an NPA) as on March 31, 2021.
  • Aggregate dues of the borrower across all banks and non-bank companies should not be more than ` 25 crore as on March 31, 2021
  • Should have GST registration or willing to apply for GST (not applicable for MSMEs in industries exempted from applicability of GST)
  • Borrower’s account(s) should not have been restructured in terms of RBI Circulars dated Jan. 01, 2019; Feb. 11, 2020 or August 06, 2020.
  • Reschedulement of Term Loan accounts (with longer moratorium / longer repayment period or by reduction of instalment amount).
  • Both overdue / future instalments can be rescheduled
  • Funding of Interest shall be considered in deserving cases.
  • Reschedulement with ballooning instalments also possible.
  • Simplified process for restructuring of loan accounts where SIDBI’s exposure was not more than ` 10 lakh as on March 31, 2021.
  • Option for reschedulement of any one or all live accounts with SIDBI.
  • No downgrade in asset classification on account of reschedulement (as per RBI guidelines).
  • Existing customers of SIDBI eligible to seek restructuring under these guidelines can opt-in / opt-out of restructuring by furnishing a letter to SIDBI as per this format.