The Reserve Bank of India has revised priority sector lending guidelines on Friday. Priority Sector Loans (PSLs) are the loans that mandatory to be lent by the banks to economically weaker sections.
The apex bank has assigned higher weightage for incremental priority sector credit to certain ‘districts’ as per existing lending flow for these areas.
Addressing regional disparities, these areas are selected considering comparatively low flow of credit. New categories have been added to promote easy financing under priority sector lending.
These are:
The RBI said that these revisions in PSL guidelines have been made after considering emerging national priorities and to bring out more focused approach for inclusive development in the country.