AP Govt Extends Guarantee For Rs 300 Cr Loan Availed By MARKFED
27 July 2026 5:39 PM IST27 July 2026 5:39 PM IST
The Andhra Pradesh government on Monday offered a guarantee for a Rs 300 crore term loan being availed by the AP MARKFED from the Central Bank of India.
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Amaravati: The Andhra Pradesh government on Monday offered a guarantee for a Rs 300 crore term loan being availed by the Andhra Pradesh State Cooperative Marketing Federation Ltd (AP MARKFED) from the Central Bank of India for its working capital needs in FY27.B Rajsekhar, special chief secretary, Agriculture & Cooperation Department, said the government guarantee shall come into force only in the event of failure to pay the obligations to the lending institution by the corporation (AP MARKFED).
"The government, after careful examination of the proposal, hereby issued orders for government guarantee for an amount of Rs 300 crore as term loan to AP MARKFED from Central Bank of India as working capital finance for the financial year 2026-27," Rajsekhar said in a government order (GO).
Further, he noted that the corporation shall meet the debt servicing from its own resources, along with the payment of five per cent 'Guarantee Commission' on the guaranteed amount, among other conditions.
( Source : Deccan Chronicle with agency inputs )
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