Small Industries Development Bank of India (Sidbi) has entered into a partnership with Google India (GIPL) for piloting a social impact lending programme with financial assistance up to ₹1 crore at competitive interest rates to MSMEs.
This partnership with GIPL brings a corpus of $15 million (around ₹110 crore) to micro, small and medium enterprises (MSMEs) as a crisis response related to COVID-19.
Under it, a loan programme targeted at micro enterprises (having turnover up to ₹5 crore), with loan sizes ranging between ₹25 lakh to ₹1 crore, is being implemented by Sidbi.
“We look to this collaboration to enhance our efforts in expanding the sector’s access to credit and are very eager to see the constructive impact that we can achieve together,” said Sidbi’s chairman and managing director Sivasubramanian Ramann.
This also marks Sidbi’s launch of a paperless journey to its customers from on-boarding to the disbursal stage, he added.
Google India vice-president and Country Manager Sanjay Gupta said, “In joining hands with Sidbi, which has a deep understanding of the growth needs of this large and dispersed ecosystem, we are pleased to expand our support to these enterprises.” Major focus under the programme shall be on enterprises run by women entrepreneurs, with suitable interest rate concession also envisaged for such enterprises.
