General Knowledge

categories of the priority Sector

  • Agriculture and Allied Activities (Direct and Indirect finance) – Direct finance to agriculture shall include short, medium and long term loans given for agriculture and allied activities directly to individual farmers, Self – Help Groups (SHGs) or Joint Liability Groups (JLGs) of individual farmers without limit and to others (such as corporate, partnership firms and institutions) up to Rs.20 lakh, for taking up agriculture/allied activities
  • Small Scale Industries (Direct and Indirect Finance)- Direct finace to small scale industries (SSI) shall include all loans given to SSI units which are engaged in manufacture, processing or preservation of goods and whose investment in plant and machinery (original cost) excluding land and building
  • Small business / Service Enterprises – shall include small business, retail trade, professional & self- employed persons, small road & water transport operators and other service enterprises
  • Micro Credit – Provision of credit and other financial services and products of very small amounts not exceeding Rs.50.000 per borrower to the poor in rural, semi-urban and urban areas, either directly or through a group mechanism, for enabling them to improve their living standards, will constitute micro credit
  • Education Loans : Education Loans include loans and advances granted to only individuals for educational puposes up to Rs. 10 lakh for studies in India and Rs.20 lakh for studies abroad, and do not include those granted to institutions
  • Housing loans : Loans up to Rs.28 lakh in metropolitan cities where population is above Rs.10 lakh and Rs. 20 lakh at other center s for construction / purchase of a dwelling unit per family provided total cost of the unit in metropolitan centres and at other centres does not exceed Rs. 35 lacs and Rs.25 Lacs respectively