Allahabad Bank to provide loans to promote solar energy

Kolkata-based public sector - Allahabad bank to offer loans to farmers and rural artisans to buy solar off-grids made by Environ Energy Corporation India as it has entered into an agreement with the latter. The bank will provide loan at 5% under the government's capital subsidy-cum-refinance scheme for promotion of solar off-grid.

Under the scheme farmers, agricultural laborers, rural artisans, entrepreneurs and salaried persons are eligible to get loan. To avail the loan, borrowers are required to foot 20% of the cost of the project as margin while 30% is available as capital subsidy. Borrowers will also get Rs 500 rebate from the solar company.

The bank’s net profit for the quarter has rose by 20.45% at Rs 418.13 crore as compared to Rs 347.14 crore for the same quarter last year. Its total income has surged by 41.98% to Rs 3835.77 crore for the quarter under review from Rs 2701.68 crore for the corresponding quarter of the previous year.