New Delhi: Finance Minister Nirmala Sitharaman on Monday said PSBs have disbursed about Rs 82,000 crore in the nine-day outreach programme to push up retail credit and banks have witnessed robust demand during that period and she has asked the banks to look at the scope of MSMEs' demand for bill discounting.
Bill discounting is a discount/fee which a bank takes from a seller to release funds before the credit period ends. Bill discounting is mostly applicable in scenarios when a buyer buys goods from the seller and the payment is to be made through letter of credit.
Earlier Finance Secretary Rajeev Kumar said "Finance Minister Nirmala Sitharaman today reviewed the credit growth progress in the public sector banks and they have reported that they have disbursed Rs 81,781 crore in retail in the nine days of the outreach programme and have followed the prudential norms in the credit outreach.
