Bank of Baroda MSME Loan

BOB MSME Loan Interest Rate

The Bank of Baroda MSME loan rate of interest are linked to the Base Rate (BR), Marginal Cost of Funds Based Lending Rate (MCLR) and Baroda Repo Linked Lending Rate (BRLLR). Following are the BOB MSME loan interest rates for various types of BOB MSME loan schemes:

A. Interest Rate for Mid/Large Corporate/ Non-regulatory/SME expanded advances linked to Base Rate (BR) w.e.f 12.10.2022

Rating	Large & Mid Corporate Advances	Effective Interest Rate (p.a.)	Non-regulatory SME /SME Expanded Advances	Effective Interest Rate (p.a.)
CR-1	BR+1.25%	10.65%	BR+1.25%	10.65%
CR-2	BR+1.80%	11.20%	BR+1.35%	10.75%
CR-3	BR+3%	12.40%	BR+1.85%	11.25%
CR-4	BR+3.75%	13.15%	BR+2.40%	11.80%
CR-5	BR+4.75%	14.15%	BR+3.25%	12.65%
CR-6 & Below	BR+7%	16.40%	BR+5.70%	15.10%

*Base Rate (per annum) w.e.f. 12.04.2023 is 9.40% p.a

B. Interest Rate for Mid/Large Corporate/ Non-regulatory/SME expanded advances linked to MCLR

Rating	Large & Mid Corporate Advances	Effective Interest Rate (p.a.)	Non-regulatory SME /SME Expanded Advances	Effective Interest Rate (p.a.)
CR-1	MCLR + 1.25%	10.05%	MCLR + 1%	9.80%
CR-2	MCLR + 1.80%	10.60%	MCLR + 1.25%	10.05%
CR-3	MCLR + 3%	11.80%	MCLR + 2.45%	11.25%
CR-4	MCLR + 3.75%	12.55%	MCLR + 3%	11.80%
CR-5	MCLR + 4.75%	13.55%	MCLR + 3.85%	12.65%
CR-6 & Below	MCLR + 7%	15.80%	MCLR + 6.25%	15.05%

*1-Year MCLR w.e.f. 12.01.2024 is 8.80%

C. Interest Rate for Financing Protected Cultivation (Green House/Polyhouse, etc.) Projects

Limit	Tenure	Applicable Interest Rate	Effective Interest Rate (p.a.)
Up to Rs. 3 Lakhs	All	1-Year MCLR + SP	9.05%
Above Rs. 3 Lakhs & less than Rs. 25 Lakhs	All	1-Year MCLR + SP + 1.25%	10.30%
Rs. 25 Lakhs & above	3 years up to 5 years	1-Year MCLR + SP + 2.10%	11.15%
	Above 5 years up to 7 years	1-Year MCLR + SP + 2.15%	11.20%
	Above 7 years up to 9 years	1-Year MCLR + SP + 1.85%	10.90%

*1-Year MCLR w.e.f. 12.01.2024 is 8.80% & Strategic Premium (SP) is 0.25% (B)

D. Interest Rate for Financing Farmer Producer Companies (FPC)

Limit	Applicable Interest Rate	Effective Interest Rate (p.a.)
Above Rs. 3 Lakhs & less than Rs. 25 Lakhs	1-Year MCLR + SP + 1.25%	10.30%
Above Rs. 25 Lakhs
For tenure less than 3 years	1-Year MCLR + SP + 2%	11.05%
For tenure 3 years & above up to 5 years	1-Year MCLR+ SP + 2.10%	11.15%
For tenure above 5 years & up to 7 years	1-Year MCLR+ SP + 2.15%	11.20%
For tenure above 7 years & up to 10 years	1-Year MCLR+ SP + 1.85%	10.90%

*1-Year MCLR w.e.f. 12.01.2024 is 8.80% & Strategic Premium (SP) is 0.25% (B)

E. Interest Rate for Regulatory & Non-Regulatory MSME Loans

Limit	Micro	Effective Interest Rate (p.a.)	Small	Effective Interest Rate (p.a.)	Medium	Effective Interest Rate (p.a.)
For Limits up to Rs. 25 Lakhs (Regulatory)
Up to Rs. 50,000	BRLLR + SP	9.40%	BRLLR + SP + 2%	11.40%	BRLLR + SP + 2.70%	12.10%
Above Rs. 50,000 to Rs. 2 Lakhs	BRLLR + SP + 2%	11.40%	BRLLR + SP + 2.20%	11.60%	BRLLR + SP + 2.70%	12.10%
Above Rs. 2 Lakhs to Rs. 10 Lakhs	BRLLR + SP + 2.20%	11.60%	BRLLR + SP + 2.35%	11.75%	BRLLR + SP + 2.70%	12.10%
Above Rs. 10 Lakhs to Rs. 25 Lakhs	BRLLR + SP + 2.35%	11.75%	BRLLR + SP + 2.50%	11.90%	BRLLR + SP + 2.70%	12.10%
For Limits up to Rs. 25 Lakhs (Non-Regulatory)
MCLR + SP + 2.75%	11.80%

For Limits above Rs. 25 Lakhs and up to Rs. 5 Crores (Interest Rates Depend on CMR Rating)

Eligible Immovable Security Coverage	Regulatory MSME						Non Regulatory MSM/ SME Expanded
Eligible Immovable Security Coverage	Micro Enterprises	Effective Interest Rate (p.a.)	Small Enterprises	Effective Interest Rate (p.a.)	Medium Enterprises	Effective Interest Rate (p.a.)	Spread	Effective Interest Rate (p.a.)
A. 100% and above	BRLLR+ 0.30% to BRLLR+ SP + 4.75%	9.45% to 14.15%	BRLLR+ 0.35% to BRLLR+ SP + 5%	9.50% to 14.40%	BRLLR+ 0.40% to BRLLR+ SP + 5.25%	9.55% to 14.65%	MCLR + 0.45% to MCLR + SP + 5.25%	9.25% to 14.30%
B. 85% to less than 100%	BRLLR+ 0.40% to BRLLR+ SP + 5%	9.55% to 14.40%	BRLLR+ 0.45% to BRLLR+ SP + 5.25%	9.60% to 14.65%	BRLLR+ 0.50% to BRLLR+ SP + 5.50%	9.65% to 14.90%	MCLR + 0.50% to MCLR + SP + 5.75%	9.30% to 14.80%
C. 70% to less than 85%	BRLLR+ 0.60% to BRLLR+ SP + 6.50%	9.75% to 15.90%	BRLLR+ 0.65% to BRLLR+ SP + 6.75%	9.80% to 16.15%	BRLLR+ 0.70% to BRLLR+ SP + 7%	9.85% to 16.40%	MCLR + 0.75% to MCLR + SP + 7.25%	9.55% to 16.30%
D. 55% to less than 70%	BRLLR+ 0.80% to BRLLR+ SP + 8.25%	9.95% to 17.65%	BRLLR+ 0.85% to BRLLR+ SP + 8.25%	10% to 17.65%	BRLLR+ 0.90% to BRLLR+ SP + 8.25%	10.05% to 17.65%	MCLR + 0.95% to MCLR + SP + 8.25%	9.75% to 17.30%
E. 40% to less than 55%	BRLLR+ 1% to BRLLR+ SP + 8.25%	10.15% to 17.65%	BRLLR+ 1% to BRLLR+ SP + 8.25%	10.15% to 17.65%	BRLLR+ 1% to BRLLR+ SP + 8.25%	10.15% to 17.65%	MCLR + 1.05% to MCLR + SP + 8.25%	9.85% to 17.30%
F. 30% to less than 40%	BRLLR+ 1.20% to BRLLR+ SP + 8.25%	10.35% to 17.65%	BRLLR+ 1.25% to BRLLR+ SP + 8.25%	10.40% to 17.65%	BRLLR+ 1.30% to BRLLR+ SP + 8.25%	10.45% to 17.65%	MCLR + 1.35% to MCLR + SP + 8.25%	10.15% to 17.30%
G. Less than 30%	BRLLR+ 1.65% to BRLLR+ SP + 8.25%	10.80% to 17.65%	BRLLR+ 1.70% to BRLLR+ SP + 8.25%	10.85% to 17.65%	BRLLR+ 1.75% to BRLLR+ SP + 8.25%	10.90% to 17.65%	MCLR + 1.80% to MCLR + SP + 8.25%	10.60% to 17.30%

For limits above Rs. 5 Crores(FB & NFB)

Internal Rating	Regulatory MSME	Effective Interest Rate (p.a.)	Non-Regulatory MSME	Effective Interest Rate (p.a.)
CR1	BRLLR + SP + 0.50%	9.90%	MCLR + SP + 1%	10.05%
CR2	BRLLR + SP + 1%	10.40%	MCLR + SP + 1.25%	10.30%
CR3	BRLLR + SP + 1.25%	10.65%	MCLR + SP + 2.75%	11.80%
CR4	BRLLR + SP + 2%	11.40%	MCLR + SP + 3.50%	12.55%
CR5	BRLLR + SP + 3%	12.40%	MCLR + SP + 4.50%	13.55%
CR6 & Below	BRLLR + SP + 6%	15.40%	MCLR + SP + 7%	16.05%

*For MSME Loans, applicable BRLLR is 9.15 % w.e.f. 14.02.2023 (Current RBI Repo Rate 6.50% + Mark-Up 2.65%), 1-Year MCLR w.e.f. 12.01.2024 is 8.80%, and SP is 0.25% (B)

F. Interest Rate for Export Credit

Credit Rating	Micro & Small Enterprises w.e.f. 01.10.2019	Effective Interest Rate (p.a.)	Medium Enterprises w.e.f. 01.04.2020	Effective Interest Rate (p.a.)	SME Expanded w.e.f. 20.01.2020
Pre-Shipment Credit
CR 1 to CR 3 or CMR 1 to CMR 3	BRLLR + SP + 0.50%	9.90%	BRLLR + SP + 0.50%	9.90%	MCLR (Tenor Based) + SP + 0.50%
CR 4 to CR 6 or CMR 4 to CMR 6	BRLLR + SP + 0.75%	10.15%	BRLLR + SP + 0.75%	10.15%	MCLR (Tenor Based) SP + 0.90%
CR 7 to CR 10 or CMR 7 to CMR 10	BRLLR + SP + 1.50%	10.90%	BRLLR + SP + 1.50%	10.90%	MCLR (Tenor Based) + SP + 1.50%
Post-Shipment Credit
CR 1 to CR 3 or CMR 1 to CMR 3	BRLLR + SP + 0.40%	9.80%	BRLLR + SP + 0.40%	9.80%	MCLR (Tenor Based) + SP + 0.40%
CR 4 to CR 6 or CMR 4 to CMR 6	BRLLR + SP + 0.65%	10.05%	BRLLR + SP + 0.65%	10.05%	MCLR (Tenor Based) + SP + 0.80%
CR 7 to CR 10 or CMR 7 to CMR 10	BRLLR + SP + 1.40%	10.80%	BRLLR + SP + 1.40%	10.80%	MCLR (Tenor Based) + SP + 1.40%

*BRLLR is 9.15 % w.e.f. 14.02.2023 (Current RBI Repo Rate 6.50% + Mark-Up 2.65%) and SP is 0.25% (B)

Eligibility Criteria for Bank of Baroda MSME Loan

If you want any of the Bank of Baroda MSME loan apply online or offline if you meet the following eligibility criteria. These are the eligibility requirements for some popular BoB MSME loans:

1. Baroda Healthcare Scheme

Borrower Constitution
- Business units with constitution Individual/ Partnership/ Proprietorship/ LLP/ Trust/ Society/ Private Ltd/ Public Ltd
- HUF not eligible as an entity and as a partner
Age Criteria
- Minimum age: 25 years, at the time of loan application
- Maximum age: 65 years at the time of loan maturity

2. Credit Guarantee Scheme for Start-ups (CGSS)

Start-up as recognized by DPIIT as per Gazette Notification(s) issued from time to time.
Start-ups that have reached stage of stable revenue stream, as assessed from audited monthly statements over 12 months, amenable to debt financing.
Start-up not in default to any ending/ investing institution and not classified as Non-Performing Asset (NPA) as per RBI guidelines.
Start-up whose eligibility is certified by the Bank for guarantee cover.
If the existing borrower has availed of BGECL and wants to avail CGSS, BGECL loan should be closed.
Real Estate projects and HUF are not allowed.

3. Scheme for Financing Micro Units Engaged in Export

All new (including takeover from other banks)/ existing Micro enterprises units engaged in exports.
Partnership, Proprietorship, Private and Public Limited Companies, LLP.
Minimum age: 25 years for Proprietor of Proprietorship Firm and 21 years for Individual Guarantor, at the time of loan application.
Maximum age: 65 years at the time of loan maturity.

4. Financing Solar Projects

Borrower Constitution
- Proprietorship Concern
- Registered & Unregistered Partnership
- Limited Liability Partnership (LLP)
- Private Limited Company
- Public Limited Company
- One Person Company
- Trust/ Society

HUF, Section 8 Companies, under Companies Act 2013 & Association of Persons/ Body of Individuals are not eligible.
Age criteria (only for Proprietor of Proprietorship Firm)
- Minimum age: 25 years for Proprietor of Proprietorship Firm and 21 years for Individual Guarantor, at the time of loan application.
- Maximum age: 65 years at the time of loan maturity.

5. Loan Guarantee Scheme for Covid Affected Tourism Service Sector (LGSCATSS)

Target beneficiary who don’t have borrowing relationship with any Scheduled Commercial Bank (SCB).
Target beneficiary who has existing borrowing relation with any SCB, may borrow from that particular bank or any SCB registered with NCGTC.
If the target beneficiary has already availed benefit under ECLGS (BGECL 1.0/ 3.0), they have to close/ pay off the dues under BGECL, before applying for coverage under LGSCATSS scheme.
If an eligible borrower has availed assistance under LGSCATSS, they have to close/ pay off the dues under LGSCATSS, before applying for coverage under ECLGS.

6. Digital Mudra Loan

Individuals, Partnership Firm, Proprietary Concern, Private Ltd. Company, and Public Company.
The applicant should not be defaulter to any bank/ financial institution and should have a satisfactory credit track record.
The individual borrowers may be required to have the necessary skills/ experience/ knowledge to undertake the proposed activity.

7. Mudra Loan

All non-farm enterprises
Under micro enterprises and small enterprises segment
Engaged in income generating activities, manufacturing, trading and services
Whose credit requirement is up to Rs. 10 Lakhs
Allied agriculture activities have also been included under PMMY scheme

8. Baroda Loan to Business Correspondents

Business correspondents and kiosk operators who have valid agreements with service providers engaged by BoB for the purpose of providing banking services under financial inclusion.
Age: 18 – 60 years
All vendors/ suppliers (falling within SME regulatory/non-regulatory classification only) of large real estate developers to which program limits have been approved.