'Primary co-op banks can lend up to Rs 10 lakh for repair of dwelling units'

Mumbai: Reserve Bank of India (RBI) on Tuesday said primary cooperative banks can now extend loans of up to Rs 10 lakh to individuals for repair or alterations of their dwelling units in metropolitan centres.

The ceiling on loans by such banks to individuals for carrying out repairs/additions/alterations to their dwelling units was revised upwards to Rs 2 lakh in rural and semi-urban areas and Rs 5 lakh in urban areas in September 2013.

"The ceiling on such loans is now revised to Rs 10 lakh in metropolitan centres (those centres with population of 10 lakh and above) and Rs 6 lakh in other centres," RBI said in a circular addressed to primary (urban)

co-operative banks.

Urban co-operative banks refer to primary cooperative banks located in urban and semi-urban areas.