Direct Finance. SIDBI provides direct credit to MSMEs mainly to fill credit gaps in the MSME sector through demonstrative and innovative lending products, which can be further scaled up by the Banking system. Direct Finance portfolio outstanding stood at Rs 11581 crore as of March 2021, as compared to Rs 9867 crore as of March 2020. During FY2021, the Bank focused on ensuring uninterrupted flow of credit to MSMEs, especially to those engaged in fighting the pandemic and in implementation of relief measures announced by RBI. Operational set up for direct finance operations is as given under: Regional Offices 10 Branch Offices 82 including 8 branches of North East Region. Express Loan Service Centres (Loan Processing Cell) 6 RFP No. 314/2022/1681/HO1/DCV Issued on January 05,2022 Page:25 of 98 Stressed Asset Recovery Branches (SARB) 3 Further, the Bank has taken steps like widening reach, diversifying base, faster delivery and retention of good customers to increase the direct lending portfolio. Business enablers under Direct Finance ⮚ Tie-ups with OEMs / Industry Associations: The Bank has entered in Credit Delivery Arrangements (CDA) with 58 machinery suppliers and six industry Associations to accelerate Credit delivery to MSMEs. ⮚ Promoting Renewable energy usage: to give xxxxxxx to adoption of cleaner energy among MSMEs, the Bank has entered into partnership with three OEMs in the solar power sector. ⮚ Launch of New & Quick Deliverable Products: The Bank launched four new products, mainly focused on helping MSMEs fight the pandemic. These products catered mainly to small borrowers, with average TAT of five days. ⮚ Sustainable Development: The Bank has been operating focused lending schemes for promoting investment in clean production and energy efficient technologies / production processes under bilateral line of credit from international agencies such as JICA, AFD and KfW. **************** RFP No. 314/2022/1681/HO1/DCV Issued on January 05,2022 Page:26 of 98 6.
