State Bank Of India On Wednesday, it said it has signed an agreement with three non-banking finance company-microfinance institutions (NBFC-MFIs). co-lending To joint liability group (JLG). The country’s largest lender has signed an agreement with Vedika Credit Capital Limited (VCCL), Save Microfinance Private Limited (SMPL) and Paisalo Digital Limited (PDL).

The agreement is for co-lending to individual members of JLGs for allied activities including agriculture and other income generating activities, a release said.

“We are confident that this initiative will empower millions of people financially and enhance the bank’s vast distribution network. It will also encourage entrepreneurship among the under-served population which in turn will boost the Indian economy.” dinesh khara said.

With these partnerships, the lender will be able to expand its reach in rural and semi-urban areas by offering small ticket loans, the release said.

It is actively involved in co-lending opportunities with several NBFCs/ NBFC-MFIs for farm mechanization, warehouse receipt finance, financing of Farmer Producer Organizations (FPOs) and to increase credit flow to double the income of farmers/individuals. looking at.

RBI had issued guidelines on co-lending scheme for banks and NBFCs/NBFC-MFIs to improve the flow of credit to the unserved and under-served sectors and to make available funds to borrowers at an affordable cost. Can go