home page 


 home | free registration | clubs | helpline | bank holidays | banknet books
                                            

banking finance jobs net banking! stocks NRIs forex

message


Name : Mukesh Adenwala
Subject: Priority Sector Lending
Reply : Norms for PSL are different for Indian and foreign banks. Indian banks are required to lend 40% of their advances to Priority sector. Of this, 18% of total advances should go for Agriculture & Allied activities by way of direct or indirect (investing in NABARD Bonds) lending. 10% of the advances should go to Small Scale Industries. 4% (10% of PSL) should go to weaker sections and 1% of the total advances should go to DRI schemes. The remaining 7% can be lent in either the mentioned segements or to "Other Priority Sector", which comprises small road transport operators, small business, village and cottage industries, etc.


Post your response