Indian Overseas Bank has inked MoU with Small Industries and Development Bank of India (SIDBI). As per the deal SIDBI will provide a line of credit of Rs 100 crore to the bank for a period of seven years.
This initiative by SIDBI was to channelize the growth capital to a large number of micro, small and medium enterprises and hence it has decided to partner with select banks. SIDBI has started with Indian Overseas Bank for its initiative.
The bank’s net profit for the second quarter ended September 30, 2011 has increased marginally by 0.64% at Rs 207.46 crore as compared to Rs 206.15 crore for the corresponding quarter of the last year. The bank’s total income has surged 56.84% at Rs 4822.56 crore for the quarter under review as compared to Rs 3074.74 crore for the second quarter of the previous year.