KOHIMA, MARCH 29 (MExN): The Finance Department has issued a set of directives to address concerns raised by beneficiaries of the Chief Minister’s Micro-Finance Initiative (CMMFI), following a meeting on March 29, 2025. The new measures aim to clarify the loan repayment structure, processing procedures, and grievance redressal for the initiative.
Loan Repayment Structure: The Finance Department has outlined that the Equated Monthly Installment (EMI) for CMMFI loans will be calculated based on 60% of the total loan amount. Beneficiaries will be required to pay 10% of the loan upfront, while the State Government will contribute the remaining 30% in advance.
Moratorium Period: A six-month moratorium period will be enforced as per the CMMFI policy. During this period, no EMI payments are due, with the State Government covering the interest payments to the bank. EMI payments will commence from the 6th month after the loan release.
CGTMSE Coverage: The State Government will provide Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) coverage for all eligible MSME activities under CMMFI. In line with this, banks are directed not to require third-party collateral for such loans.
Digital Loan Application Process: The application and processing of CMMFI loans have been digitized. Eligible individuals, Farmer Producer Organizations (FPOs), Self-Help Groups (SHGs), and Startups can apply directly through the online portal at https://credit.nagaland.gov.in/. The portal provides step-by-step guidance for the application process. Applicants can also reach out to the facilitation cell at 9077175990 for assistance or visit the SCK centres located in each district under the District Administration.
No Processing Fees: The government has clarified that there are no charges for the processing of CMMFI loans. Beneficiaries have been urged to report any individual or entity demanding money in exchange for loan processing or application consideration to the CMMFI facilitation cell immediately.
Grievance Redressal: Beneficiaries with concerns or complaints related to CMMFI have been advised to contact the CMMFI Facilitation Cell at the Finance Department for prompt resolution. The helpline number 9077175990 is available for assistance.
Refund of Excess Payments: Beneficiaries who have made excess payments beyond the EMI calculated according to the new structure are entitled to a refund. Banks have been instructed to comply with government directions issued during the State Level Bankers' Committee (SLBC) meeting held on February 28, 2025, regarding the refund process.
