Term Loans / Project Finance
The types of term assistance extended by SBI SA can be broadly classified into (i) Term Loans (including foreign currency loans), (ii) Deferred Payment Guarantees (DPGs).
A term loan is an advance, usually against security of the borrowers fixed assets, for a fixed period to a business or an industrial undertaking for the purpose of acquisition of fixed assets, viz., land, buildings and plant and machinery etc, for setting up new industrial units or expansion or modernization of existing operations.
Deferred Payment Guarantee
It is a standby credit guaranteeing deferred payment usually for payments for capital goods, turnkey projects etc.