Capri Global Capital Limited (CGCL) said that it has signed a co‐lending agreement with the State Bank of India (SBI) with an objective to offer loans for micro, small and medium enterprises (MSME).

The non-banking financial company (NBFC) said that the collaboration with the SBI aims to initially disburse MSME loans across more than 100 touch points throughout India.

According to Capri Global Capital, the disbursement of the MSME loans under the arrangement would begin from December 2021.

The partnership is expected to help MSMEs avail personalized lending solutions at a competitive rate of interest with a substantial reduction in turn‐around time.

Capri Global Capital said that the co‐lending agreement will target boosting last‐mile finance and fuel financial inclusion to MSMEs by providing secured loans, ranging from INR 10 lakhs and INR 100 lakhs.

Furthermore, the co‐lending arrangement with SBI will call for joint contribution of credit to the potential MSME customers in Tier II and Tier III markets, said Capri Global Capital.

The company said that the agreement was made under the co‐lending guidelines issued by RBI in November 2020 for co‐lending to the priority sector.

Recently, Capri Global Capital Limited entered into a similar co-lending agreement with Union Bank of India (UBI) to offer MSME loans.

  Capri Global Capital, India, State Bank of India