Direct Answer
The MSME Interest Subvention Scheme is designed to alleviate the high borrowing costs for registered MSMEs by providing a direct 2% interest relief on fresh and incremental working capital or term loans
Target Sector
Micro, Small, and Medium Enterprises (Udyam Registered)Relief Quantum
Up to 2.0%Applicability
Strictly on outstanding fresh or incremental loans (not legacy debt)
Exam tip: Pay close attention to the sector mentioned in the question stem. The subvention for the Agriculture/KCC sector (PRI) is 3%, while the subvention for the MSME sector is 2%.
Micro, Small, and Medium Enterprises (Udyam Registered)Relief Quantum
Up to 2.0%Applicability
Strictly on outstanding fresh or incremental loans (not legacy debt)
Exam tip: Pay close attention to the sector mentioned in the question stem. The subvention for the Agriculture/KCC sector (PRI) is 3%, while the subvention for the MSME sector is 2%.