SIDBI and Bank of Baroda sign Mou to strengthen credit delivery for MSMEs and Startups
New Delhi, Nov 18 (BVI) Small Industries Development Bank of India (SIDBI) and Bank of Baroda (BOB) today signed a Memorandum of Understanding (MoU) to jointly enhance credit flow, expand working capital access, and strengthen financial support for MSMEs and startups across India.
SIDBI is the principal financial institution for promoting, financing and development of MSMEs and startups while BOB is one of India’s leading public sector banks.
Key areas of partnership under the MoU include:
- Joint Financing for MSMEs: Credit delivery support through combined strengths of SIDBI’s MSME focus and Bank of Baroda’s wide branch network.
- Working Capital Enablement: Operationalisation of BOB’s Working Capital Platform for SIDBI-sanctioned borrowers to ensure seamless, tech-enabled Working Capital support.
- Startup Financing: Structured support for startups through coordinated interventions—SIDBI’s Venture Debt Programme, and Bank of Baroda’s Startup Banking solutions, including financial products, advisory, and customised offerings.
- Export Promotion: Enabling MSMEs and high-growth startups to benefit from Bank of Baroda’s global network, offering export-related banking support, market access insights, and international banking solutions.
- Cluster and Innovation Support: Joint programs for MSME clusters, incubators, accelerators, and startup ecosystems across the country.
SIDBI CMD 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. We see this as a powerful opportunity to accelerate India’s enterprise growth narrative.”
Bank of Baroda Executive Director Lalit Tyagi said: “Bank of Baroda is committed to supporting MSMEs and the emerging startup ecosystem. 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.” (BVI)
