SIDBI and Bank of Baroda Sign MoU to Boost Credit Support for MSMEs and Startups The collaboration seeks to improve access to working capital, long term financing and export opportunities.
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The Small Industries Development Bank of India and Bank of Baroda have signed a Memorandum of Understanding (MoU) aimed at strengthening credit delivery and expanding financial support for micro, small and medium enterprises as well as startups across the country.
The collaboration aligns with the national vision of Viksit Bharat 2047 and seeks to improve access to working capital, long term financing and export opportunities.
Under the partnership, both institutions will jointly finance MSMEs by combining SIDBI's focus on the sector with Bank of Baroda's extensive branch network. The agreement also enables the use of Bank of Baroda's technology driven working capital platform for borrowers supported by SIDBI to ensure smoother credit access. Startups are expected to benefit from coordinated support involving SIDBI's venture debt initiatives along with specialised advisory and financial solutions offered by Bank of Baroda.
The MoU further aims to assist high growth enterprises in exploring global markets through export related banking support and international market insights. Joint programs will also be undertaken for MSME clusters, incubators, accelerators and innovation driven ecosystems.
SIDBI Chairman and Managing Director Manoj Mittal said, "For 35 years, SIDBI has shaped the MSME and startup financing landscape through direct, indirect and digital interventions. This MoU deepens our ability to jointly support MSMEs as well as high-potential startups through venture debt, digital credit, and coordinated working capital solutions."
Bank of Baroda Executive Director Lalit Tyagi stated, "Through this partnership, we will strengthen joint financing, enhance digital credit enablement, and expand specialised banking solutions for startups. Our global presence will further help MSMEs, and startups tap export opportunities."
