India’s largest bank, State Bank of India (SBI), has introduced the ‘SME Digital Business Loan’ to support Micro, Small, and Medium Enterprises (MSMEs).
This initiative aims to streamline the loan approval process, with loans being approved within just 45 minutes. SBI emphasizes that the entire process is digitized, marking a significant move towards digitalization.
Quick Approval Process
Under the SME Digital Business Loan scheme, approvals are granted swiftly, within 45 minutes. Leveraging data from various sources such as Income Tax Returns (ITR), GST returns,
and bank statements, SBI has developed a data-driven credit scoring system. This system enables approvals in as fast as 10 seconds after submitting the required information.
Convenient Access for Customers
Customers can easily access this innovative offering through multiple channels, including the bank’s website, branches, SME centers, and internet platforms.
Moreover, SBI plans to enhance accessibility further by introducing QR codes at all its Customer Service Point (CSP) partner touchpoints and outdoor locations in the near future.
Streamlined Loan Application
To apply for a loan under this scheme, customers need to provide details such as financial statements, transaction history, and GST returns. This streamlined process ensures efficiency and transparency.
SBI’s Commitment to Innovation
Dinesh Khara, Chairman of SBI, expressed the bank’s dedication to setting new industry standards with the SME digital business loan. This initiative reflects SBI’s ongoing efforts to foster innovation in MSME lending.
Beyond Digitalization
SBI’s focus on MSMEs extends beyond the SME Digital Business Loan. The bank is also digitizing the Mudra product
and automating the collateral-free loan process under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) cover.
