With which bank has the Small Industries Development Bank of India (SIDBI) partnered to boost MSME financing?

The correct answer is Federal Bank.

In News

• SIDBI has partnered with Federal Bank to provide financial support to micro, small, and medium enterprises (MSMEs).

Key Points

• The MoU between SIDBI and Federal Bank focuses on strengthening the MSME ecosystem through various financial services such as project finance, machinery finance, and loans against property.
• The partnership aims to provide businesses with easier access to credit facilities to foster growth and development in the MSME sector.
• This collaboration aligns with the government's commitment to enhance MSMEs' role in India's manufacturing and industrial growth.
• The MoU marks a significant step toward providing MSMEs with efficient financing options, boosting their contribution to the economy.

Additional Information

• SIDBI
  • The Small Industries Development Bank of India (SIDBI) is the principal financial institution for the promotion and development of MSMEs in India.
  • SIDBI provides a range of financial services to MSMEs, including loans, funding, and project finance.
• Federal Bank
  • Federal Bank is a private sector bank in India offering banking products and services to individuals, businesses, and corporates.
  • It has a significant presence in the financial sector, offering services like loans, deposits, and digital banking solutions.
• MSME
  • The Micro, Small, and Medium Enterprises (MSME) sector plays a crucial role in India's economic development, contributing to employment and GDP growth.
  • It is a significant driver of innovation and entrepreneurship in the country.