Karnataka KSFC MSME Loan

Written & fact-checked by Riya Sharma · Editor, Schemes In India

Last verified: 25 May 2026 · How we verify scheme facts

What is Karnataka KSFC MSME Loan?

Karnataka State Financial Corporation (KSFC) is the state's premier MSME lending institution providing term loans from ₹10 lakh to ₹10 crore at competitive interest rates (9-12%) for manufacturing, service, and trade enterprises in Karnataka. Unique features: (1) Women entrepreneurs get 1% interest rebate; (2) SC/ST entrepreneurs get additional 1% rebate; (3) Margin Money scheme — 20-25% capital subsidy for micro units under PMEGP; (4) Karnataka government technology upgradation subsidy for weaving/handloom units; (5) Energy efficiency loans at concessional rates. KSFC has 29 branch offices across Karnataka. Processing fee: 1% of loan. Sanction typically in 45-90 days.

Karnataka KSFC MSME Loan — Quick Overview

Scheme Name	Karnataka State Financial Corporation (KSFC) MSME Loan 2026 — ₹10L to ₹10Cr for SME & Industry
State	Karnataka (कर्नाटक)
Launched By	Government of Karnataka
Launch Year	1959
Benefit	₹10L-₹10Cr term loans at 9-12% + women 1% rebate + SC/ST 1% rebate + PMEGP subsidy
Category	Finance
Beneficiaries	25,000+ MSME units financed in Karnataka
Last Verified	25 May 2026
Official Portal	https://www.ksfc.in

🇮🇳Hindi me Jankari — हिंदी में जानकारी

Karnataka State Financial Corporation (KSFC) — ₹10 लाख से ₹10 करोड़ तक term loans 9-12% पर। Manufacturing, Service, Trade enterprises। महिला उद्यमी 1% छूट, SC/ST 1% अतिरिक्त छूट। PMEGP Margin Money subsidy 20-25%। 29 branch offices। 45-90 दिन में sanction।

₹10 लाख-₹10 करोड़ term loan 9-12% पर + महिला/SC/ST छूट + PMEGP margin money subsidy

📖ಕರ್ನಾಟಕ ರಾಜ್ಯ ಹಣಕಾಸು ನಿಗಮ (KSFC) MSME ಸಾಲ — ಕನ್ನಡದಲ್ಲಿ ಮಾಹಿತಿKannada

ಕರ್ನಾಟಕ ರಾಜ್ಯ ಹಣಕಾಸು ನಿಗಮ (KSFC) ಕರ್ನಾಟಕದ ಉತ್ಪಾದನಾ, ಸೇವೆ ಮತ್ತು ವ್ಯಾಪಾರ ಉದ್ಯಮಗಳಿಗೆ 9-12% ಬಡ್ಡಿದರದಲ್ಲಿ ₹10 ಲಕ್ಷ-₹10 ಕೋಟಿ ಅವಧಿ ಸಾಲ ನೀಡುವ ಪ್ರಮುಖ MSME ಸಾಲ ಸಂಸ್ಥೆಯಾಗಿದೆ.

📌 फायदा: ₹10 ಲಕ್ಷ-₹10 ಕೋಟಿ ಅವಧಿ ಸಾಲ 9-12% ಮೇಲೆ; ಮಹಿಳೆ/SC/ST ಉದ್ಯಮಿಗಳಿಗೆ 1% ರಿಯಾಯಿತಿ + PMEGP ಮಾರ್ಜಿನ್ ಮನಿ ಸಬ್ಸಿಡಿ

पात्रता:

ಕರ್ನಾಟಕದಲ್ಲಿ ನೊಂದಾಯಿತ ಉದ್ಯಮ/ಕಂಪನಿ, ₹10 ಲಕ್ಷ-₹10 ಕೋಟಿ ಸಾಲ, 20-25% ಪ್ರವರ್ತಕ ಕೊಡುಗೆ, ಕರ್ನಾಟಕದಲ್ಲಿ ಘಟಕ/ಕಾರ್ಖಾನೆ.

अर्ज कसा करावा:

ksfc.in ನಲ್ಲಿ ಅಥವಾ ಹತ್ತಿರದ KSFC ಶಾಖೆ (ಕರ್ನಾಟಕದಾದ್ಯಂತ 29 ಶಾಖೆಗಳು) ಯಲ್ಲಿ ವಿಸ್ತೃತ ಯೋಜನಾ ವರದಿ (DPR) ಸಹಿತ ಸಾಲ ಅರ್ಜಿ ಸಲ್ಲಿಸಿ.

Benefits of Karnataka KSFC MSME Loan

✅ ₹10L-₹10Cr term loans at 9-12% + women 1% rebate + SC/ST 1% rebate + PMEGP subsidy

₹10 लाख-₹10 करोड़ term loan 9-12% पर + महिला/SC/ST छूट + PMEGP margin money subsidy

Who is Eligible for Karnataka KSFC MSME Loan?

✓ Proprietorship, partnership, LLP, private/public limited company, cooperative society registered in Karnataka
✓ Manufacturing, service, or trade enterprise with viable project/business plan
✓ Loan amount range ₹10 lakh to ₹10 crore
✓ Promoter's contribution: Minimum 20-25% of project cost
✓ Business must be in Karnataka (unit/plant location in Karnataka)
✓ No wilful defaulter or NPA status with any bank/FI

Documents Required for Karnataka KSFC MSME Loan

0/8 documents ready

How to Apply for Karnataka KSFC MSME Loan Online?

1ksfc.in पर जाएं या nearest KSFC Branch Office में जाएं (29 branches Karnataka-wide)
2Loan application form प्राप्त करें + Detailed Project Report (DPR) तैयार करें
3Form, DPR, और all documents जमा करें at KSFC Branch
4KSFC field inspection: unit site / factory premises की physical inspection
5Project appraisal committee review (30-45 days)
6Sanction letter → Legal documentation (mortgage deed if applicable)
7Loan disbursement in tranches based on project completion stages

🏛️

Official Government Portal — Karnataka

Applications go through www.ksfc.in only. Applying is free of charge — no agent, middleman or "consultant" is ever required.

🔗 Apply at ksfc.in or nearest KSFC Branch Office

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Frequently Asked Questions — Karnataka KSFC MSME Loan

Karnataka KSFC loan interest rate 2026?−

General: 11.5-12% p.a. Women entrepreneurs: 10.5-11% p.a. (1% rebate). SC/ST entrepreneurs: 10.5-11% p.a. (1% rebate). For Technology Upgradation Fund (TUF) weaving units: 9-9.5%. Rates may vary based on RBI/KSFC board revision — check ksfc.in for latest.

KSFC aur bank loan mein kya fark hai?+

PMEGP margin money subsidy + KSFC loan combination possible?+