Question

What is the provisioning requirement for a standard asset for fund based facilities of Farm Credit to agricultural activities, individual housing loans and Small and Micro Enterprises (SMEs) sectors

Q: Answer-What is the provisioning requirement for a standard asset for fund based facilities of Farm Credit t...

The provisioning requirements for all types of standard assets stands as below. Banks should make general provision for standard assets at the following rates for the funded outstanding on global loan portfolio basis Farm Credit to agricultural activities, individual housing loans and Small and Micro Enterprises SMEs sectors at 0.25 per cent advances to Commercial Real Estate CRE Sector at 1.00 per cent advances to Commercial Real Estate ndash Residential Housing Sector CRE - RH at 0.75 per cent housing loans extended at teaser rates restructured advances ndash as stipulated in the prudential norms for restructuring of advances. All other loans and advances not included above at 0.40 per cent.