/viestories/media/media_files/2025/11/20/sidbi-and-bank-of-baroda-sign-mou-to-strengthen-credit-delivery-for-msmes-and-startups-2025-11-20-16-32-04.png)
SIDBI and Bank of Baroda (BOB) have signed an MoU to work together to improve credit access for MSMEs and startups.
The partnership aims to improve working capital, boost export-related financing, and make credit delivery smoother, supporting India’s Vision 2047 for a stronger economy.
The MoU was signed in the presence of M. Nagaraju, Secretary of the Department of Financial Services (DFS), along with senior leaders from both organisations.
Read also- Godrej Consumer acquires Muuchstac in Rs 450-crore in all-cash deal
“This partnership brings together the strengths of a dedicated MSME development institution and a large commercial bank to build a stronger credit ecosystem for MSMEs and startups. By combining SIDBI’s innovative financing models with Bank of Baroda’s national and international reach, this MoU will help enterprises, both traditional and new-age, access timely working capital, scale operations, and integrate into global value chains,” said M. Nagaraju, IAS, Secretary, DFS.
Manoj Ayyappan, Joint Secretary, DFS, said, “The SIDBI–Bank of Baroda partnership marks an important step in strengthening India’s MSME and startup ecosystem. By bringing together SIDBI’s developmental expertise and Bank of Baroda’s strong national and global presence, this collaboration will significantly enhance access to timely and affordable credit.
Manoj Mittal, CMD, SIDBI, said, “For 35 years, SIDBI has shaped the MSME and startup financing landscape through direct, indirect and digital interventions. This MoU deepens our ability to jointly support MSMEs as well as high-potential startups through venture debt, digital credit, and coordinated working capital solutions. We see this as a powerful opportunity to accelerate India’s enterprise growth narrative.”
/viestories/media/media_files/2025/08/07/gift_ads_01-2025-08-07-16-54-28.jpg)
Lalit Tyagi, Executive Director, Bank of Baroda, said, “Bank of Baroda is committed to supporting MSMEs and the emerging startup ecosystem. Through this partnership, we will strengthen joint financing, enhance digital credit enablement, and expand specialised banking solutions for startups. Our global presence will further help MSMEs, and startups tap export opportunities.”
The partnership supports the government’s push to expand formal credit and provide more financial support to businesses that drive jobs and innovation.
Under the agreement, SIDBI and Bank of Baroda will work together to provide joint financing for MSMEs, combining SIDBI’s expertise with BOB’s large branch network. The partnership will also enable MSMEs approved by SIDBI to use BOB’s digital Working Capital Platform for faster, tech-driven credit access.
Both institutions will also collaborate on startup funding by linking SIDBI’s venture debt programmes with BOB’s startup banking services, including advisory and customised financial solutions. The MoU further includes support for export-focused MSMEs and high-growth startups through BOB’s international presence along with joint initiatives for MSME clusters, incubators and innovation ecosystems.
Want to go deeper into the world of startups and entrepreneurship? Check out these categories on VIESTORIES:
Latest Business and Startup News: Discover Funding Trends and Stories Shaping Indian Startups.
Startup Funding News: Your Gateway to Every Funding Update.
Latest Startup News: Stay updated with the latest startup news and trends. Your go-to source for startup ecosystem updates.
Startup Stories: Discover inspiring tales of startups overcoming challenges, and achieving success.
