New Delhi, Nov 18 Small Industries Development Bank of India (SIDBI) and Government-owned Bank of Baroda on Tuesday signed a Memorandum of Understanding (MoU) to jointly enhance credit flow, expand working capital access, and strengthen financial support for MSMEs and startups across India.
The key areas of partnership under the MoU include credit delivery support through the combined strengths of SIDBI’s MSME focus and Bank of Baroda’s wide branch network.
BOB will also operationalise its working capital platform for SIDBI-sanctioned borrowers to ensure seamless, tech-enabled working capital support.
The MOU provides for structured support to startups through coordinated interventions of SIDBI’s venture debt programme and Bank of Baroda’s startup banking solutions, including financial products, advisory, and customised offerings.
Besides, it will enable MSMEs and high-growth startups to benefit from Bank of Baroda’s global network, offering export-related banking support, market access insights, and international banking solutions.
Joint programs for MSME clusters, incubators, accelerators, and startup ecosystems across the country have also been included in the MoU.
The MoU for the partnership was signed in the presence of M. Nagaraju, Secretary, Department of Financial Services (DFS), Manoj Mittal, CMD SIDBI, Lalit Tyagi and Lal Singh, Executive Directors, Bank of Baroda and other senior officials.
In his keynote address on the occasion, Nagaraju said, “This partnership brings together the strengths of a dedicated MSME development institution and a large commercial bank to build a stronger credit ecosystem for MSMEs and startups.
During the event, the Secretary, DFS, also handed over the sanction letters under the SIDBI-BOB memorandum of understanding to MSME customers.
SIDBI CMD Manoj Mittal said, “For 35 years, SIDBI has shaped the MSME and startup financing landscape through direct, indirect and digital interventions. This MoU deepens our ability to jointly support MSMEs as well as high-potential startups through venture debt, digital credit, and coordinated working capital solutions. We see this as a powerful opportunity to accelerate India’s enterprise growth narrative.”
--IANS
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