Small Industries Development Bank of India (SIDBI) launches the ‘Udyamimitra’ Portal (www.udyamimitra.in) as a universal loan portal to Micro, Small and Medium Enterprises (MSMEs). The aim to launch universal loan portal to improve accessibility of credit and handholding for MSME.
MinFin further mentions that with ‘Udyamimitra’ Portal entrepreneurs can apply online for MSME loans upto Rs.2 crore without physically visiting bank branches. In addition, various Scheduled Commercial Banks (SCBs), Non-Banking Financial Companies, Small Finance Banks and Financial Technology (Fintech) companies have already boarded on the portal.
In addition, MinFin highlighted that, “SCBs have been mandated not to accept collateral security in the case of loans up to Rs.10 lakh extended to units in the MSE sector and computation of working capital requirements of MSE units has been simplified to make it minimum 20% of the projected annual turnover of the unit.”
FinMin further states several steps taken to ease the procedure of the loan provided to MSMS by advising Scheduled Commercial Banks (SCBs) to achieve a 20% year-on-year growth in credit to ensure :
- enhanced credit flow,
- allocation of 60% of the MSEs advances to the micro enterprise accounts,
- a 10% annual growth in number of micro enterprise accounts,
- adoption of one cluster,
- operationalising at least one specialised MSME Branch in every district etc.
In addition, a target of 7.5% of Adjusted Net Bank Credit (ANBC) has been prescribed for Micro Enterprises.