The Small Industries Development Bank of India (SIDBI) is likely to lower down loan processing time to 72 hours from the current average of around three months to help MSMEs avail credit.
This will be done by transforming the entire process into digital.
Sivasubramanian Ramann, Chairman and Managing Director, SIDBI pressed on the need to conduct a proper due diligence and a complete risk assessment of MSMEs.
He further said that SIDBI is planning to completely digitise the process beginning from loan application to assessment.
It is expected that this change will lead to a volume growth in loan book for SIDBI apart from bringing down the turnaround time for MSMEs thereby leading to an overall growth in advances.