Mark up subsidy
Mark up rate for the Facility shall remain the same viz. 7.5% for financing up-to 5 years as applicable under SBP’s Refinance Facility; however, the end-user rate will be 2.75% p.a only, i.e. the difference of 7.75% (SBP’s share) will be borne by SEDF.
Banks will be offered credit guarantee cover of 30% against their outstanding loans under the Facility. As mentioned, the cover will be provided on the strength of financial support extended by SEDF.
Tenor of loans
Facility shall be available against loans granted up-to the period of five years.
Maximum loan size for a single borrower shall be Rs 10 million (Rupees Ten million only).
The banks which have already obtained refinance limits under the Refinance Facility for Modernization of SMEs may now apply for the Guarantee and subsidy limits under this Scheme