NOTIONAL ALLOCATION OF NSFDC FUNDS TO BE DISBURSED
At the beginning of the each financial year, NSFDC shall notionally allocate funds to the SCAs, in proportion to the Scheduled Caste population of the country represented by the respective State/UT Administration. The SCAs are, in turn, required to further make district-wise allocation in accordance with the same principle.
The status of notional allocation vis-à-vis actual for each financial year, as on 31st August, shall be reviewed by NSFDC before 15th of September of that year, and in case allocated funds have not been availed by any SCA, the funds earmarked for the SCA may be re-allocated to other States(s)/UT(s).
At the time of notional allocation of funds to SCAs at the beginning of financial year, funds equivalent to 50% of notional allocation for projects costing upto Rs 1.00 lakh of each SCA, shall be released to the SCAs in advance, after receipt of Action Plan, to implement projects costing upto Rs 1.00 in the prescribed ratio.The SCAs shall furnish utilization of these funds within 90 days of its release by NSFDC.
In addition, 50% of the notional allocation separately made for Micro Credit Finance (MCF) and Mahila Samriddhi Yojana (MSY) schemes for each SCA shall also be released in advance on receipt of Action Plan for implementation of these schemes which are to be utilized within 90 days from date of disbursement.
The release of these funds to SCAs shall however be subject to fulfillment of Clause 12.1(iii) regarding availability of adequate Government Guarantee cover and Clause 12.2.(i) & (ii) regarding 80% satisfactory level of fund utilization andrepayment of overdues not more than one year as at end of preceding financial year
Further, the SCAs are required to endeavour to cover target groups in accordance with the priorities laid down as under:
Educated unemployed/underemployed 50%
The SCAs are required to endeavour to achieve sectoral priorities in accordance with the percentages listed below: Sectors Allocation
Agriculture & Allied 50%
SCAs shall provide Government Guarantee/Bank Guarantee to the NSFDC for the funds sanctioned to them, preferably as block guarantee.
Security for the Seed Capital Assistance shall be the same as determined by the Term Lending Institutions.