Small Industries Development Bank of India (SIDBI) has reportedly signed a Memorandum of Understanding (MoU) with Vijaya Bank for providing concessional finance to micro and small enterprises (MSEs).
The MoU aims at promoting and strengthening units in the MSE segment through concessional funding - that is, at the marginal cost of funds-based lending rate (MCLR) of Vijaya Bank under refinance from SIDBI.
The MoU also envisages joint financing/co-financing of MSMEs for meeting capital expenditure under the ‘SIDBI Make in India Soft Loan Fund for Micro, Small & Medium Enterprises’ scheme at concessional rate of 9.60 per cent, along with working capital from Vijaya Bank.
Vijaya Bank offers various products and services specific to various segments such as it has saving accounts for children, scheme for women clientele, credit facilities to minority communities like Zoroastrians, Buddhists are among others.
