BIHAR's Financial Incentives

BIHAR's Financial Incentives

BIHAR’s Unprecedented & Unparalleled Financial Incentives

Export incentives increased to Rs. 40 lakh per year for 14 years to support export-oriented units.
Financial Incentives
Option 1

Interest subvention

Interest subvention (up to Rs. 40 crore) on loans, lowering cost of credit.
Financial Incentives
Option 2

SGST Reimbursement

Net SGST reimbursement up to 300% of approved project cost spread over 14 years, boosting long-term cash flow.
Financial Incentives
Option 3

Capital Subsidy

Capital Subsidy (up to 30% of approved project cost).
These financial supports improve project viability, reduce operational costs, and enhance investor returns.

Interest Subvention and SGST Reimbursement

Interest Subvention (maximum up-to Rs. 40 Cr) + SGST Reimbursement (up-to 100%)
Sector CategoryInterest SubventionTax Related Incentives Reimbursement
High Priority
  • 10% (12% for Micro and Small units) for 5 years
  • Max: 50% of Approved Project Cost (Upto Rs. 40 Cr)
  • 100% reimbursement for 5 Years
  • Max.100% of Approved Project Cost
Priority
  • 10% (12% for Micro and Small units) for 5 years
  • Max: 30% of Approved Project Cost (Upto Rs. 20 Cr)
And
  • 80% reimbursement for 5 years,
  • Max.100% of Approved Project Cost
Non-Priority
  • 10% (12% for Micro and Small units) for 5 years
  • Max. 15% of Approved Project Cost (Upto Rs. 20 Cr)
  • 80% reimbursement for 5 years
  • Max. 70% of Approved Project Cost
Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTSME) charges for Micro and Small units shall be additionally payable

SGST Reimbursement

100% net SGST Reimbursement up-to 300% of approved project cost in 14 Years
ParticularsLarge(Greater than Rs. 50 Cr and Up to Rs. 200 Cr)Mega(Above Rs. 200 Cr But less than Rs. 500 Cr)Super Mega(Rs. 500 Cr and Above)
High-Priority/Priority/Non-PriorityHigh-Priority/Priority/Non-PriorityHigh-Priority/Priority/Non-Priority
Region AOverall Ceiling as % of Approved Project Cost150%250%300%
Annual Ceiling as % of Approved Project Cost25%25%25%
Region BOverall Ceiling as % of Approved Project Cost125%200%250%
Annual Ceiling as % of Approved Project Cost20%20%20%
Period of Reimbursement in Years10 Years12 Years14 Years

Capital Subsidy

Capital Subsidy (up-to 30% of the Approved Project Cost)
ParticularsLarge(Above Rs. 50 Cr and up to Rs. 200 Cr)Mega(Above Rs. 200 Cr but less than Rs. 500 Cr)Super Mega(Rs. 500 Cr and Above)
High-PriorityPriorityNon-PriorityHigh-Priority/Priority/Non-PriorityHigh-Priority/Priority/Non-Priority
Incentive30% of Approved Project Cost25% of Approved Project Cost20% of Approved Project Cost22% of Approved Project Cost25% of Approved Project Cost
Region A (Upper Cap)Rs. 40 CrRs. 30 CrRs. 25 CrRs. 110 CrNo Upper Cap
Region B (Upper Cap)Rs. 30 CrRs. 25 CrRs. 20 CrRs. 100 Cr22% of Approved Project Cost - No Upper Cap
Incentive Disbursal DurationOver 10 years in 10 equal annual instalmentsOver 12 years in 12 equal annual instalmentsOver 14 years in 14 equal annual instalments