Vijaya Bank Slashes MSME Loan Rates up to 1%

Vijaya Bank has slashed interest rates on MSME (Micro, Small and Medium Enterprises) loans by up to one per cent across the board, effective from Saturday, Sept. 1, 2012.

Also, in order to encourage MSME units to go in for rating by accredited external credit rating agencies, it has offered them incentives by way of a further reduction in the rate of interest ranging from 0.25 per cent to one per cent depending upon the ratings obtained, the public sector bank said in a statement.

The bank has identified MSME sector as a thrust area and it has recorded a 22.43 per cent annual growth under this segment for the year ending March, 2012, it said.

“Already several MSME melas have been conducted and the bank has also implemented ‘E-tracking’ of MSME for online loan applications,” it added.