Karnataka Bank has entered into a Memorandum of Understanding (MoU) with National Bulk Handling Corporation (NBHC) for extending storage facilities to farmers and finance against the warehouse receipts (WHR). NBHC is one of the leading collateral management service providers with a pan-India presence, managing about 1500 warehouses and cold storages.
The finance to farmers will be extended under ‘Krishik Bhandar’ scheme of the Bank. NBHC has nominated Karnataka Bank as preferred financier for extending finance to farmers against the Ware House Receipts. Farmers can avail the service of NBHC with a nominal fee.
The institutions and non-institutions held 30.41% and 69.59% stake in the company, respectively.