Please
refer to BPD Circular No. 25 dated the 18th September,
2002 on the captioned subject.
2.
It has been decided that with effect from 15th
March,
2003 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 7% p.a. However, where
banks would avail refinance from the State Bank against valid
Finance Limit, the refinance so obtained shall be remunerated
at 5% p.a.
3.
Other instructions on the subject shall remain unchanged.
Please acknowledge receipt.
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