The Kerala Financial Corporation (KFC) has enhanced the upper loan limit under the Chief Minister's Entrepreneurship Development Programme (CMEDP) to ₹2 crore so that Micro, Small and Medium Sector enterprises (MSMEs) receive loans at 5% interest rate.
Industrial units must have MSME registration and the age of the chief entrepreneur should be below 50 years. The age limit for SC/ST entrepreneurs, women entrepreneurs and non-resident Keralites is 55 years.
Loans are available for starting new ventures and modernising existing ones. The loan will be made available up to 90% of the project cost. Large projects will get even higher disbursements, in which case, loans up to ₹2 crore will be sanctioned at 5% interest rate and the balance at normal interest rates. The repayment period is up to 10 years.
