Money & Banking

SIDBI launches portal to help MSMEs

PTI Mumbai | Updated on November 30, 2020 Published on November 30, 2020

Small Industries Development Bank of India (SIDBI) on Monday said it has launched a web portal to help micro, small and medium enterprises (MSMEs) take benefit of the Reserve Bank of India’s one-time debt restructuring.

In August, RBI had announced one-time restructuring for personal and corporate borrowers affected by Covid-19-related stress.

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 requirement, SIDBI said in a release.

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

“We have developed this module in collaboration with our associate, India SME Asset Reconstruction Company (ISARC), which is an asset reconstruction company (ARC),” SIDBI Deputy Managing Director Manoj Mittal said in the release.

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, he said.

The portal has been tested by some of the banks for use by their MSME clients.

Punjab National Bank and Indian Bank have already agreed to accept restructuring proposals generated by their MSME customers using this module, the release said.

The module is being offered free of cost as part of Sidbi’s developmental initiatives.

A memorandum of understanding (MoU) to this effect was signed on Monday between SIDBI and Indian Bank in the presence of Indian Bank MD & CEO Padmaja Chunduru, it said.

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Published on November 30, 2020
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