Indian Bank aims to grow its MSME portfolio

Riding on its small entrepreneurship mentoring programme christened MSME Prerana, the Indian Bank is aiming to grow its MSME portfolio as it will enable small businesses to access bank credit more easily.

The bank’s MSME portfolio is of Rs 65,176 crore (17.34 lakh accounts) which is 18 per cent of total advances portfolio. During the first half of this financial year, the MSME portfolio swelled by 14.73 per cent.

Under Prerana, online training sessions for MSMEs are being conducted to train them in basics of accounting, maintenance of books of accounts, government and bank schemes. Training programmes are being arranged in vernacular languages for the benefit of MSMEs.

The bank has entered into tie-ups with Poornatha & Co, a entrepreneurial development organisation and Michigan Academy for Developing Entrepreneurs for this purpose.

Padmaja Chunduru, MD & CEO said, “MSME Prerana programme received very good response from MSME entrepreneurs and participation of more women entrepreneurs is overwhelming. The aim is to equip them with necessary skills to professionally handle volatile and uncertain situations and build confidence in them for a viable and sustainable business growth.”

The bank recently started its fourth batch of MSME Prerana for entrepreneurs in Tamil Nadu.

MSME Prerana, a first-of-its-kind initiative by a bank for the MSME sector, was launched by Union finance minister Nirmala Sitharaman on October 6, 2020.