Kerala’s 2021 budget announced kitchen modernization program to ease women’s workload
It is learned that Kerala State Financial Firms are in the process of developing a financial partnership plan with the State Government’s Smart Kitchen Program, which aims to reduce the burden of household chores on women in order to reduce them. to attract entrepreneurship and employment.
Former Minister of Finance TM Thomas Isaac announced in the 2021 budget: “The heart of the 2021-2022 budget is job creation. The main beneficiaries of this approach will be the women of Kerala ”, as he announced the Smart Kitchen program to modernize kitchens through mechanization and induction of modern equipment to lighten the work of the kitchen.
Dr Isaac had also said that KSFE would be responsible for floating special tokens for this purpose. However, it is learned that KSFE is making plans to provide loans to support the Smart Kitchen program and will follow the suggestions of a high-level committee appointed by the government to look into the matter.
According to the initial plans, the KSFE loans for the Smart Kitchen program will be available to people of all walks of life and will be repayable within one to five years. There is also a plan to reduce the interest burden of those who take advantage of the Smart Kitchen loan. For this, the interest portion will likely be divided into three parts, so that a third will be paid by the state government, a third by the local authority and a third by the consumer.
KSFE learns to negotiate with equipment manufacturers for the program even as it explores ways to reduce the cost of equipment for the Smart Kitchen program.
The financial company is also trying to get rid of the collateral requirement as a condition for Smart Kitchen loans because many of those availing the loans may not be able to secure third party collateral. One option under consideration is loan repayment through the National Automated Compensation Mechanism (NACH). KSFE is also looking for ways to provide maximum benefits to members of the Kudumbashree mission under the program.
KSFE started its activities in 1969 with paid-in capital of 2 lakh and 10 branches. It has over 33 lakh clients, paid-in capital of ₹ 100 crore and turnover, mainly comprising chits and gold loans, of around ₹ 41,000 crore per year. It has a wide reach with 600 branches across Kerala.