RBI gives priority sector lending status to Start-ups
Priority Sector Lending (PSL) is a tool given by the RBI to the banks for providing a specified portion of the bank lending to few specific sectors like agriculture and allied activities, micro and small enterprises, poor people for housing, students for education and other low income groups and weaker sections. Banks have to keep 40 per cent of Adjusted Net Bank Credit towards PSL.
Reserve Bank of India (RBI) has given priority sector lending status to start-ups. Photo: Reuters