SIDBI launches asset restructuring web module

The Small Industries Development Bank of India (SIDBI) has launched an asset restructuring web module, https://arm-msme.in, to help MSMEs (micro, small and medium enterprises) get benefit from the Reserve Bank of India’s (RBI) MSME restructuring guideline.

With the help of this Do-It-Yourself (DIY) asset restructuring web module, MSMEs will be able to prepare restructuring proposals by keying in only the most essential data of their past financials, future projections and restructuring requirements, SIDBI said in a statement.

The proposal prepared can be submitted online to the banks and reports can also be generated for submission to banks through email or in hard copies.

ARM-MSME is being offered free of cost as part of SIDBI’s developmental initiatives. SIDBI is the country’s apex financial institution for the promotion, financing and development of MSMEs.

The financial institution observed that though the RBI has extended the scope of ongoing one-time restructuring of MSME advances to support recovery of viable MSME entities undergoing Covid-19-related stress till March 31, 2021, many MSMEs find it difficult to prepare the restructuring proposals on their own, and this DIY kit provides them with a handy tool to do this intuitively based upon their understanding of business.

The module makes it easier to compare different options of restructuring as well as reduces the turn-around time, it added.

Handholding

Manoj Mittal, Deputy Managing Director, SIDBI, said to provide handholding support to MSME units seeking restructuring, credit counsellors have been placed in 20 MSME cluster locations, in partnership with local MSME industry associations.

In case the need arises, the number of such locations could also be increased, he added.