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Union Finance Minister Launches Strategic Initiatives to Power MSMEs on SIDBI’s 37th Foundation Day

Speaking at the 37th Foundation Day Celebrations of the Small Industries Development Bank of India (SIDBI) in Mumbai, Union Finance Minister Smt. Nirmala Sitharaman emphasized that the MSME sector is central to India’s economic growth, jobs, and export power. To shield small businesses from the economic fallout of the West Asia War, the Minister highlighted critical government relief measures, including the rollout of the ECLGS 5.0 scheme to support affected sectors.

Minister Sitharaman also outlined a bold future vision for SIDBI to act as a market-maker, backed by a massive ₹5,000 crore capital infusion from the Government of India. To mark the milestone anniversary, she launched a suite of strategic digital portals and initiatives engineered to boost last-mile credit, modernize rural industries, and reinforce the entire MSME ecosystem.

Various new initiatives / portals launched during the event are SIDBI RRB Co-Lending Portal, a platform to operationalize partnerships between SIDBI and Regional Rural Banks (RRBs), improving credit flow in rural and underserved geographies, SIDBI MachFin Mart, a digital platform enabling MSMEs to access machines through a structured marketplace, supporting price discovery, standardization, technology adoption and embedded loan sanction and MoRE (Modernisation of Rural Enterprises), a focused initiative to provide transformational support to 10,000 rural micro and artisanal units over next 3 years, through cluster-based interventions in such rural / artisanal clusters. Credit Cards for Micro Enterprises program of DFS, Govt of India was also launched at the event. These credit cards with a limit of `5 lakh for Udyam registered micro enterprises have been designed with an objective to enable credit access on easier terms and through a faster process for financing their working capital requirements.

On the occasion, Shri Sanjay Lohiya, Special Secretary, Department of Financial Services acknowledged the contribution of SIDBI’s leadership and staff in building an institution that commands credibility across the financial sector and that DFS looks forward to SIDBI continuing to play a proactive and constructive role in strengthening MSME finance and supporting India’s broader development objectives. In this evolving context, SIDBI’s future role is not only that of a financier, but of an institution that sets benchmarks, builds confidence and strengthens the architecture of MSME finance.

Shri Manoj Mittal, Chairman & Managing Director, SIDBI said on the occasion that these initiatives mark a significant step in SIDBI’s ongoing efforts to transform MSME financing through digital enablement and partnerships. The focus is on improving credit access, credit delivery efficiency and promoting technology adoption through digital platforms and collaborative partnerships. Our approach is also anchored on supporting modernisation of rural enterprises, thereby making them more competitive, productive and future-ready, apart from enabling inclusive and broad-based economic development.

The celebration concluded with a strong reaffirmation of SIDBI’s role as a catalyst for small businesses. Armed with a massive capital boost and newly launched digital platforms, SIDBI is primed to accelerate last-mile credit, empowering rural entrepreneurs to fuel India’s next wave of inclusive economic growth.

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