Scheduled Tribes Finance & Development Corporation
National Scheduled Tribes Finance and Development Corporation (NSTFDC) has been set up in April, 2001 as a Government Company under Section 25 of the Companies Act. 1956 (A Company not for profit), following bifurcation of the erstwhile National Scheduled Castes and Schedule Tribes Finance and Development Corporation (NSFDC) into two separate corporations.NSTFDC is a fully Government of India owned Undertaking under the Ministry of Tribal Affairs and is managed by a Board of Directors with representation from Central Government, State Level Channelising Agency, financial institutions and persons representing Scheduled Tribes.
2.3 SHARE CAPITAL
The Authorised Share Capital of the Corporation is Rs.500.00 Crores.
2.4 BROAD OBJECTIVES
NSTFDC is the Apex organisation for providing financial assistance for scheme(s)/project(s) for the economic development of Scheduled Tribes. The broad objectives of NSTFDC are as under: -
Identification of economic activities of importance to the Scheduled Tribes so as to generate employment and raise their level of income.
Upgradation of skills and processes used by the Scheduled Tribes through providing both institutional and on the job training;
To make the existing State/U.T Scheduled Tribes Finance and Development Corporations who are nominated as the State Channelising Agencies (SCAs) for availing assistance from NSTFDC and other developmental agencies engaged in the economic development of Scheduled Tribes more effective.
To assist SCAs in project formulation, implementation of NSTFDC assisted Schemes and in imparting necessary training to their staff.
To provide financial support for meeting the working capital requirement of the Central / State government owned agencies, for undertaking procurement and marketing of minor forest produces, agricultural produces ,and other products grown/made or collected by the Scheduled Tribes.
To innovate, experiment and promote rather than replicate the work of the existing agencies.
To finance viable income generating Scheme(s)/ Project(s) costing upto Rs.10.00 Lakhs through the SCAs for the economic development of eligible Scheduled Tribes.
To provide grants through the SCAs for undertaking training programmes for the skill and entrepreneurial development of eligible Scheduled Tribes..
To upgrade skills of officials of the SCAs through periodic training.
2.6 ELIGIBILITY CRITERIA
The beneficiary should belong to the Scheduled Tribes community.
Annual family income of the beneficiary should not exceed double the poverty line (DPL) income limit (presently Rs.39,500/- p.a. for the rural areas and Rs.54,500/- p.a. for the urban areas).
Individual, Partnership Firms/Co-operative Societies / any other form of Legal Associations are eligible to avail financial assistance from NSTFDC. However, proposals submitted by the Partnership Firms, Co-operative Societies and any other forms of Legal Associations shall be subject to the following :
a) All the members should belong to the Scheduled Tribes community.
b) Annual family income of each member/applicant should not exceed double the poverty line income limit.
Eligibility Criteria for Self Help Groups (SHGs) :
Proposal(s) submitted by an existing profit making SHGs to the Channelising Agencies of NSTFDC (SCAs) shall only be eligible for financial assistance under NSTFDC scheme of Micro Credit.
All members of each Self Help Group should belong to the Scheduled Tribe community.
Annual family income of each member of SHG should not exceed double the poverty line (DPL) income limit (presently Rs.39,500/- p.a. for the rural areas and Rs.54,500/- p.a. for the urban areas), at the time of availing of financial assistance [ Income Limit is revised from time to time based on the poverty norms revised by the Planning Commission.]
The financial assistance given will be subject to further condition that till the currency of loan, availed under NSTFDC Scheme, non Scheduled Tribe (ST) person and or otherwise in-eligible ST person shall not be made member of the said Self Help Group.
An undertaking for the above condition will be obtained by the SCAs from the SHGs prior to sanction of loan.
Financial assistance is to be extended only to the eligible person(s) who is/are residing in the concerned State/U.T. for which the said Tribe has been notified as Scheduled Tribe by the Government.
Note : SCAs are to verify the Tribe Caste as declared for each of the member by the SHGs with the notified Scheduled Tribes for the concerned State/UT prior to sanction of loan.
2.7 ALLOCATION OF FUNDS
CRITERIA At the beginning of each financial year, funds are notionally allocated by the NSTFDC to the SCAs in proportion to the Scheduled Tribes population in the respective States and UTs. This is intimated to the SCAs. The SCAs may ensure the flow of funds in such a manner so as to maintain proper balance among different districts/regions, sectors and achieving an equitable gender-wise balance among the beneficiaries.
UNIT COST Within the overall allocation, funds are to be allocated keeping the following broad norms :
%age of Notional Allocation
i) scheme(s)/project(s) costing upto Rs.5.00 lakh /per unit /profit centre
ii) scheme(s)/project(s) costing above Rs.5.00 lakh /per unit /profit centre
However 10%of allocation earmarked above can also be availed for small value projects .
SECTORAL ALLOCATION The broad norms of sectoral allocation are given below .The norms are indicative .However,the SCAs are expected to ensure a balanced approach on sectoral allocation while forwarding scheme(s)/project(s) to NSTFDC for consideration.
%age of Notional Allocation
i) Agriculture & Allied Sector
ii) Service Sector (Including Transport)
iii) Industrial Sector
3.4 LlST OF STATE/UT CHANNELISING AGENCIES OF NSTFDC