Gujarat govt partners with SBI to facilitate MSME loans

By: |
Published: February 18, 2020 9:06:50 PM

The MoU was signed between principal secretary M K Das and SBI Ahmedabad circle general manager Ramesh Kumar Agarwal.

sbi, banking sectorThe SBI decided to help MSME entrepreneurs in Gujarat looking at their high recovery rate, said the release.

The Gujarat government on Tuesday signed an MoU with State Bank of India (SBI) to facilitate approval of loans to entrepreneurs in the MSME sector with ease and within a short time-frame.

As per the MoU, the top public sector lender will provide working capital to entrepreneurs seeking to start new micro, small and medium enterprises (MSME) within a short time -frame after providing theoretical approval within 15 days of making an application, the government said in a release here.

The MoU was signed between principal secretary M K Das and SBI Ahmedabad circle general manager Ramesh Kumar Agarwal.

Within 15 days of making an application, the bank will provide theoretical approval to the project. Start-ups can submit an application on either the MSME portal or to the local nodal agencies, it said.

The SBI decided to help MSME entrepreneurs in Gujarat looking at their high recovery rate, said the release.

Chief Minister Vijay Rupani, also present at the MoU signing event, said the number of applications for MSME loans has increased this year compared to a year ago.

Even the experience of banks in terms of loan recovery has been very good, he said.

The state government had, in October last year, announced that MSME units will no longer be required to take various approvals to begin operations for the first three years.

The government said MSME units exempted from taking approvals for the first three years, can start operations after getting an acknowledgment certificate from the state nodal agency by submitting ‘declaration of intent.’

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Next Stories
1UP govt to impart on-job training, give stipend to youth in state’s MSMEs
2How Amazon CEO Jeff Bezos’ $1 billion funding promise to MSMEs will impact small business investments
3Ease of lending: MSME lender Lendkingkart automates disbursement; to give loans worth this much amount