Rate of Interest on Loans and Advances to Tamilnadu State Govt Employees for the year 2015-16

Rate of Interest on Loans and Advances to Tamilnadu State Govt Employees for the year 2015-16 – Interest for House Building Advance, Conveyance Advance and Personal Loan

Government of Tamilnadu has issued a GO prescribing the  Rate  of  interest   on  Loans   and  Advances   sanctioned    by  the   State Government  – Interest rates for the year 2015-2016

Manuscript Series

GOVERNMENT OF TAMIL  NADU

2015

FINANCE  (LOANS  AND ADVANCES  CELL)  DEPARTMENT

G.O.No.213,  Dated  23rd July  2015

(Manmatha,  Aadi  7 ,    Thiruvalluvar  Aandu  2046)

 

INTEREST   –   Rate  of  interest   on  Loans   and  Advances   sanctioned    by  the   State Government  – Interest rates for the year 2015-2016  –  Orders Issued.

READ – the following  paper:

G.O.   Ms. No.186, Finance (Loans and Advances Cell) Department,  dated 8.7.2014.

* * * * *

ORDER:

Government   directs   that  the  rate  of  interest   on   various    kinds   of  loans  and advances  by the State Government  during the year 2015-16  shall be as shown below:

Sl. No.	Class  of Loan  / Advance	Percent  per annum  for  the year  2015-2016
1.	Loans to State owned Industrial  / Commercial Undertakings / Corporations, etc. including Financial Corporations and all other Local Bodies and Municipal / Corporations:
	(a)   Plan Schemes  for development  purposes	11.50
	(b)   Other Schemes	11.50
	(c)   For capital formation and development  purposes	11.50
	(d)   For  Working  Capital Support	13.50
	(e)   For Ways  & Means  advances, advances  including  loans to cover cash deficits	13.50
	(f)   For Ways  &  Means  advance  to Tamil  Nadu Civil  Supplies Corporation  Limited for Public Distribution  System	10.00
2.	Loans  to  Co-operative Institutions and Co-operative Banks  like Land Development Bank	10.00
3.	Loans  to Government   Servants
	(i) House  Building  Advance:
	(a)  For loans upto Rs.50,000/-	5.50
	(b)  For loans from Rs.50,001/-  to 1,50,000/-	7.00
	(c)  For loans from Rs.1,50,001/- to  5,00,000/-	9.00
	(d)  Above  Rs.5,00,000/-	10.00
	(ii) Conveyance   Advance:
	(a)  For purchase of Motor car	11.50
	(b)  For purchase  of Motor Cycle / Scooter	9.00
	(c)  For purchase  of Bi-cycle	5.50
	(iii)  Other  Personal   Loans  to Government Servants:
	(a)  For purchase  of Computer	10.00
	(b)  Others	10.00
4.	Other Items :
	Loans which are not covered  in any specific category  mentioned  above	12.75
5.	Value of Seized Stock under Essential Commodities Act 1995	6.50
6.	Penal  Interest	2.50

2.   The   above   rates   will   be  applicable    for   all   loans   and   advances   being sanctioned  during the year 2015-2016  and will have validity   till the next revision   is  done by the State Government.

3.   The  rates of interest  are general  and will  not apply  to cases  where  reduced rates  of  interest   have  been  sanctioned   specially   by  the Government   or where  loans have been sanctioned  by the Government  free of interest.    The Government  may also sanction Ways  and Means advances  at special  rates  of interest  taking  into  account,   the cost of borrowing  of the Government.

4.   The  mobilization  advances  to Contractors  for World  Bank  assisted  Projects wherein  the standard  bidding documents   provide  for exemption  from  paying  of interest are however exempted  from payment of interest.

5.  The penal  interest  on all overdue  instalments  of principal  and interest will  be at 2.50   per cent more than the normal rates of interest per annum.

6.    Except  in  the  case  of  loans  to  Government   Servants,   interest  in  all cases unless  specifically   indicated  otherwise  should  be  paid every  Calendar  quarter  on the outstanding  balance.

7.   Even  at the  stage  of sanction  of  loan,   in  the  sanction  order,  the  period  of repayment,   rate of interest  and schedule  of repayment with  dates shall be indicated.   In case,  it is  a  permanent  loan,  a specific  mention  of  this  fact  should  be  made  in the sanction  order itself.

(BY ORDER OF THE GOVERNOR)

K. SHANMUGAM
PRINCIPAL  SECRETARY  TO GOVERNMENT

Download Govt of Tamilnadu G.O.No.213 dated 23.07.2015