THIRUVANANTHAPURAM: Pravasi Chitty, the savings scheme for expats, will be launched in Oman on March 29. Currently, the chitty scheme offered by the Kerala State Financial Enterprises (KSFE) is available only in the UAE.The KSFE plans to launch the scheme in all GCC countries in phases. The third phase will see the roll-out of the scheme in Kuwait and Bahrain.
The Pravasi Chitty, a budget announcement of Finance Minister Thomas Isaac, is a fund-raising instrument of the Kerala Infrastructure Investment Fund Board (KIIFB). The KSFE invests the proceedings from the chitty fund in the KIIFB as bonds. According to KSFE chairman Peelipose Thomas, the scheme is getting a good response from the expats in the UAE. “A total of 4,300 subscribers have joined the 120 chitties launched under the scheme. A total of `14 crore was mobilised so far,” he said.
KSFE officers said most of the chitty winners prefer to put the prize money as fixed deposit with the KSFE. More than Rs 5 crore has been deposited like this. Enrolment to the Pravasi Chitty was started in October 2018 and all related procedures, from enrolment to auction, are digital.
The subscribers are given the option to select any of the KIIFB-assisted projects in which their money could be spent. All subscribers will get a life insurance cover from the LIC during the chitty’s tenure. If the subscriber dies without or after bidding the chitty, LIC will pay the rest of the instalments. An accident cover is also offered.NORKA will issue the identity cards for chitty subscribers. It will also bear the charges for airlifting the body of a deceased subscriber along with travel expenses of an accompanying person.