New Delhi: In a big boost to ease of doing business by making credit available to small businesses within an hour, loans worth nearly Rs 40,000 crore have been disbursed through the government’s official portal in the last three years, the government informed the Rajya Sabha on Tuesday. The minister of state for finance Bhagwat Karad informed the members that more than 2.01 lakh proposals amounting to the loans worth Rs 39,580 crores have been sanctioned. Karad also informed the house that nearly 17,800 proposals worth Rs 1,689 crore in the retail loan category have also been disbursed through the portal.
PSB loans in 59 Minutes
Prime Minister Narendra Modi had launched the official portal of public sector banks - psbloansin59minutes.com in September 2018 for in principle approval of business loans within an hour. Karad, however, clarified that the official portal only offers a platform for speedier in-principle approval by lenders who are part of the platform.
“The final credit decision taken on loan applications sourced through the portal is taken by the lenders and monitoring of the accounts of sanctioned loans, including steps to effect recovery in any accounts that are subsequently classified as non-performing asset (NPA), is also done by the lenders,” the minister told the house.
On the handling of loans, Karad said that loan appraisal and processing is carried out by respective branches and loan processing centres of the banks. He informed the house that several lenders connect or integrate with digital credit marketplaces such as psbloansin59minutes.com, paisabazaar.com, CredAvenue, Trade Receivables Discounting System (TReDS) platform, among others to connect with loan customers.
These customers include borrowers in several segments such as retail borrowers, and micro, small and medium enterprises (MSMEs) according to their business needs. The minister said such platforms are allowed on the platform as per the internal approval of the respective banks.
State-wise loan disbursals
According to the latest data, India’s most populous state Uttar Pradesh accounted for more than 30,700 loans worth Rs 4433.98 crores, followed by the western state of Maharashtra with more than 25,800 loans worth Rs 5220.59 crores.
While among other significant players, Gujarat accounted for more than 20,480 loans worth Rs 3863.98 crore, followed by Punjab with more than 14,400 loans worth Rs 3043.20 crores, West Bengal (more than 12,300 loans worth Rs 2008.33 crores), Tamil Nadu (11,350 loans worth Rs 1880.32), Andhra Pradesh (10,841 crore worth Rs 1346.52 crore) Madhya Pradesh (10,725 loans worth Rs 1898.12 crores), and Rajasthan (10,108 loans worth Rs 2500.58 crores).
