The State Bank of India (SBI), has entered into a co-Lending arrangement with Capri Global Capital Limited (CGCL). This association will offer strategic and customized financing solutions to the underserved MSMEs of the country in line with RBI guidelines.
Dinesh Khara, Chairman, SBI said, “Banks are the backbone of India's economic growth and as the country pivots to sustainable growth, the banking sector will have to accelerate MSME lending. To improve the credit to the underserved and unserved, we are happy to associate with Capri Global Capital. We believe this collaboration will provide the nimble footedness of NBFC and quality credit to the right set of the population which will further deepen lending to MSMEs through the last mile connect. We are also confident that, in days to come, co-lending can generate employment opportunities through MSMEs which can translate into the country’s GDP growth.”
The MOU was exchanged in the presence of Dinesh Khara, Chairman, SBI; C.S. Setty, MD (Retail & Digital Banking), SBI; S. Salee, DMD (SME, Agri, and FI), SBI; and Rajesh Sharma, Managing Director, Capri Global Capital Limited.
The RBI had issued guidelines on the co-lending scheme for banks and NBFCs for Priority Sector Lending to improve the flow of credit to unserved and underserved sectors of the economy and to make funds available to borrowers at an affordable cost. The co-lending model aims to give the borrower the best interest rate and better reach, according to SBI press release.