West Bengal Financial Corporation (WBFC )

West Bengal Financial Corporation (WBFC ) was established under the State Financial Corporation Act, 1951. The WBFC provides loans, assistance and term finance to small and medium scale industries.

Technical guidance is given to entrepreneurs for project formulation and organisation, restructuring etc. WBFC has formed Entrepreneurs Assistance Cell which holds regular meetings with commercial banks, WBSEB, WBSIC, SISI, WEBCON etc. to render services to the units seeking working capital assistance. The Cell also renders other services like arranging for various inputs like power, industrial sheds, working capital finance etc.

Short term finance by way of Working Capital Term Loan to seasonal industries vis. Tea gardens, rice mills, cold storages etc. These loans are self liquidating in character and do not qualify for refinance from SIDBI, IDBI.

The Corporation is mainly engaged in providing term finance to Small & Medium Scale Industries. However, during the last few years there has been phenomenal changes in the role of Commercial Banks and Financial Institutions. Bank & Financial Institutions are making inroads into each other's specified territory. This means that the Commercial Banks are judiciously extending the net of the terms-finance and Financial Institutions are also providing Short Term finance to the industries. The line of distinction between Commercial Banks and Financial Institutions is getting blurred. In the case of State Financial Corporations, the average cost of funds is high in comparison to that of for commercial banks and the forces of the competition are forcing them to squeeze the operating margin by reducing the spread. Along with this the mounting financial expenses for servicing the refinance/borrowings taken earlier as also the increasing administrative expenditure on account of the salary rent, are posing a threat to our business growth and profitability.

Contact Information

12A, Netaji Subhas Road(3rd & 4th Floor),
Kolkata-700 001
Phone : (033)2230 0055/3259/4954/3083
Fax :(033)2230-1250
e-mail :administrator@wbfconline.org

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