Financing against warehouse/storage receipts under Collateral Management Arrangement (CMA)

Financing against warehouse/storage receipts under CMA

Small and Medium Entrepreneurs engaged in trading/manufacturing business activities.

Demand Loan
All demand loans have to be closed within 12 months period or before the expiry of validity date mentioned on warehouse receipt, whichever is earlier.
In case borrower is availing part disbursement and liquidities the availed limit within 12 months period (i.e. say 7 months) and later on requests for fresh disbursement of residual amount under sanctioned limit, branch should extend the facility for the residual months (i.e. 5 months period) only.
The borrower may be allowed multiple disbursements in this account within the sanctioned limit but the overall tenure of loan should be within 12 months period from the date of sanction.

Maximum - UGX 20,000 Million or US$ equivalent.
Minimum - 25% on Stock
(The margin may be increased considering the volatility in price for the particular commodity)
Minimum - 25% on Stock
(The margin may be increased considering the volatility in price for the particular commodity)

Durable commodities other than perishable commodities, Agriculture produce viz. Cotton, Rice, Sesame (simsim), Maize, soya beans, sunflower seeds, coffee, chia seeds, cashew nut etc.
Perishable commodities are excluded and not eligible.
Corporate body incorporated for more than 5 years.
Minimum Credit Rating ‘A’ as per last audited balance sheet.
Net worth over UGX 500 Mn. as per latest audited balance sheet.
Profit making company for last 3 consecutive financial years.
Minimum current ratio 1.17 and above as per latest audited balance sheet.