AU Small Finance Bank Introduces AU DigiTrade for MSMEs

AU Small Finance Bank, India’s largest SFB, commemorates its 29th Foundation Year and 7th banking anniversary by introducing ‘AU Remit’, a platform to initiate international fund transfers under the Liberalized Remittance Scheme (LRS), designed to meet the diverse needs of its retail customers. The bank has also launched ‘AU DigiTrade’ platform for its MSME customers and a host of Trade Finance and Forex services for exporters and importers. The unveiling of both these services marks a significant milestone in AU Small Finance Bank's journey towards enhancing customer-centric financial solutions.

Notably, AU Small Finance Bank had obtained the Authorized Dealer Category 1 (AD 1) license from the Reserve Bank of India (RBI) in April 2023, empowering the bank to conduct a wide array of foreign exchange transactions. Leveraging this authorization, AU Remit sets a new standard in international fund transfers for retail customers while the ‘AU DigiTrade’ will benefit MSME exporters and importers.

AU Remit enables Non-Resident Indian (NRI) customers to effortlessly transfer funds digitally from their AU NRE Savings Account to their overseas accounts in foreign currency. Besides, it also extends its services to residential individuals and proprietorship firms, enabling them to send money abroad for purposes listed by the RBI under the LRS scheme through the Web Portal and AU Small Finance Bank branches. AU Remit streamlines the transfer process, eliminating cumbersome documentation requirements and elevating the overall customer experience.

Highlights of AU Remit include:

-          Multiple Currency Options: Currently available in 4 major currencies for existing AU SFB customers, with plans for expansion to New-To-Bank (NTB) customers in phase 2.

-          High Transaction Limit: Customers can remit funds online up to USD 25,000 equivalent per transaction for purposes including education, family maintenance, gifts, health services, and NRE repatriation.

-          User-Friendly Interface: Intuitive digital platform with fast payment processing, 24*7 remittance services, real-time tracking, and transparent fee structure.

-          Accessibility: Accessible through the online portal using mobile number authentication or in-person at AU SFB branches.

The Trade Finance and Forex services will facilitate cross- border trade of its customers by providing financing, document handling and cross-border remittance solutions along with support in regulatory compliances. The bank has also launched a Digital Trade Portal ‘AU DigiTrade’ that will enable MSME customers to initiate trade transactions from anywhere/anytime, track the transaction status online and access reports online.

Highlights of Trade Finance Services for MSME customers include:

-          Multiple Currency Options - AU SFB would handle export and import transactions in four major currencies viz, USD, EUR, GBP and AED for exporters and importers.

-          Wide Spectrum of Trade Finance & Forex products – AU SFB would offer products like Export Finance, Import Letter of Credit, Foreign Bank Guarantee, Forward Covers, Forex rates and all services for export and import collections.

-          Special purpose Foreign Currency Accounts – AU SFB would open ‘Exchange Earners Foreign Currency (EEFC)’ accounts and ‘Diamond Dollar Account (DDA)’ for its export customers.

-          Customized Current Accounts- AU SFB has launched current accounts - “AU Royale Trade” and “AU Trade Platinum” which have customized features and preferential pricing.

Speaking on the launch, Mr. Sanjay Agarwal, Founder, MD & CEO of AU Small Finance Bank, said, "I express my deep gratitude towards the bank's 1.1 Crore customers, 46,000 employees, 2 lac domestic and international shareholders, regulatory bodies, the Government, and all other stakeholders for their wholehearted support during the first seven years of our banking journey. Today, as AU Small Finance Bank celebrates its 29th Foundation Year and 7th Banking Anniversary, we stand at the threshold of a new era, enriched by our recent expansion in Southern India post completing amalgamation with Fincare Small Finance Bank. This milestone not only signifies our journey of growth and expansion but also reinforces our unwavering commitment to innovation and customer-centricity."

Mr. Agarwal further said, “With the operationalization of our Authorised Dealer Category I (AD – Cat I) license within one year of procuring the license, the Bank has completed its product offerings and will now have a chance to work with our venerated exporter-importer community base. Our latest offering- AU Remit, AU DigiTrade and various other Trade Finance & Forex products and services will enable our NRI customers and EXIM customers to seamlessly undertake various international remittance transactions such as fee payments, medical treatments, family maintenance, trade payments as well as various export and import credit facilities from the Bank.”