New Delhi, Nov 18 (NationPress) The Small Industries Development Bank of India (SIDBI) has partnered with the Government-owned Bank of Baroda by signing a Memorandum of Understanding (MoU) to collaboratively enhance the flow of credit, broaden access to working capital, and fortify financial support for MSMEs and startups throughout India.

The partnership outlined in the MoU focuses on key areas such as delivering credit support by leveraging SIDBI’s dedication to MSMEs and Bank of Baroda’s extensive branch presence.

Bank of Baroda will implement its working capital platform for borrowers approved by SIDBI, ensuring that they receive smooth, tech-driven support for their working capital needs.

This MoU also outlines a structured approach to assist startups via coordinated efforts between SIDBI’s venture debt program and Bank of Baroda’s tailored banking solutions for startups, including diverse financial products, advisory services, and customized options.

Furthermore, it enables MSMEs and rapidly growing startups to tap into Bank of Baroda’s global network, providing export-related banking services, insights into market access, and international banking solutions.

Additionally, the MoU encompasses collaborative initiatives for MSME clusters, incubators, accelerators, and the startup ecosystem across the nation.

The agreement was formalized with the participation of M. Nagaraju, Secretary of the Department of Financial Services (DFS), along with Manoj Mittal, CMD of SIDBI, and Lalit Tyagi and Lal Singh, Executive Directors of Bank of Baroda, along with other senior officials.

During his keynote address, Nagaraju stated, “This collaboration merges the strengths of a dedicated MSME development institution with a large commercial bank, creating a more robust credit ecosystem for MSMEs and startups. By uniting SIDBI’s innovative financing strategies with Bank of Baroda’s extensive reach, this MoU will facilitate access to timely working capital for both traditional and innovative enterprises, empowering them to scale operations and integrate into global value chains.”

At the event, the DFS Secretary also presented sanction letters under the SIDBI-BOB MoU to MSME clients.

SIDBI CMD Manoj Mittal remarked, “For 35 years, SIDBI has been pivotal in shaping the landscape of MSME and startup financing through direct, indirect, and digital approaches. This MoU enhances our capacity to jointly assist MSMEs and high-potential startups through venture debt, digital credit, and synchronized working capital solutions. We view this as a significant opportunity to accelerate the growth narrative of India’s enterprises.”