Rs 10,000 Cr Fund of Funds Aimed To Help MSMEs To Be Operational Soon
Fund of Funds, which was announced as part of the Rs 20.97 lakh crore Aatmanirbhar Bharat Abhiyan package, is expected to get operational soon.
The main aim of Rs 10,000 crore Fund of Funds scheme is to help MSMEs with growth potential at a time when they are facing a severe shortage of equity and low revenues.
State Bank of India Chairman Rajnish Kumar, during a virtual event organized by FICCI, said,
“Fund of Funds, which I presume would also get operationalized very soon. So these take care from the point of view of finance.”
The Fund of Funds scheme is made to help those businesses which are in their initial stages.
Talking about other initiatives to support MSMEs, Rajnish Kumar said the bank recently launched a gold loan scheme. And within one month, the bank sanctioned Rs 88 crore under this product.
Rajnish Kumar said,
“In a way, it is monetization on the ideal gold at least for businesses. We are ensuring safety of jewellery. Customers don’t have to pay for locker and this product has received very good traction and we are planning to further build up this product.”