States ask banks to explore cash flow-based lending

…has already commenced in projects worth nearly ₹4-lakh crore. Viability gap funding Andhra Pradesh, meanwhile, is focusing on investments in quantum technologies, besides attracting steel and green energy plants. The Centre should consider increasing viability gap funding it provides to State projects , said Payyavula Keshav, Finance Minister of the southern State, adding that it will help grow tax income. “India can’t become a developed economy until States become strong,” he said. “Instead of measuring how many…

…next generation of opportunities will come from advanced manufacturing, logistics, data centres, green energy, and global capabilities centres (GCCs), said Ashish Jaiswal, Minister of State for Finance, Maharashtra. Banks must, therefore, complement conventional collateral-based lending with cash flow-based and data-driven financing models , he added. His counterpart from Assam concurred. While large corporate houses investing in the northeastern State have access to bank funds, the lenders should look at alternate ways to finance ancillary industries and…

…lending with cash flow-based and data-driven financing models, he added. His counterpart from Assam concurred. While large corporate houses investing in the northeastern State have access to bank funds, the lenders should look at alternate ways to finance ancillary industries and start-ups, instead of collateral-based loans , said Jayanta Malla Baruah. Barriers removed Malla Baruah also made a pitch for attracting investment in the State, highlighting various initiatives taken by the government, such as sector-specific policies and a…