Please refer to BPD Circular No. 1 dated the 15th March, 2002 on the captioned subject.

 2.         It has been decided that with effect from 16th  September,  2002 the maximum profit to be earned by a financial institution on financial assistance to be extended under Part-A (Local Sales) of the Scheme for financing Locally Manufactured Machinery (LMM-Scheme) shall not exceed 10% p.a. However, where banks would avail refinance from the State Bank against valid Finance Limit, the refinance so obtained shall be remunerated at 8% p.a. 

 3.         Other instructions on the subject shall remain unchanged. 

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