NSIC inks MoUs with private banks to boost MSME credit access

THEBUSINESSBYTES BUREAU

NEW DELHI, AUGUST 14, 2025

In a significant push to strengthen credit access for micro, small and medium enterprises (MSMEs), the National Small Industries Corporation (NSIC) has signed Memoranda of Understandings (MoUs) with leading private sector banks including Axis Bank, Dhanlaxmi Bank, Karnataka Bank, AU Small Finance Bank, and IndusInd Bank under its MSME Credit Facilitation Program. The agreements were formalised on August 11, 2025, reinforcing NSIC’s mission to enhance the availability, accessibility, and affordability of credit for MSMEs.

The signing ceremony was graced by Jitan Ram Manjhi, Union Minister of MSME, and S.C.L. Das, Secretary (MSME). The MoUs were exchanged between Gaurav Gulati, Director (Finance), NSIC, and senior executives from the participating banks, in the presence of Mercy Epao, Joint Secretary (SME), Dr. S. S. Acharya, CMD, NSIC, and other senior officials.

The strategic tie-up aims to provide comprehensive handholding support to MSMEs, enabling them to integrate more seamlessly into the formal financial system. By leveraging the strengths of both NSIC and the partner banks, the collaboration is expected to extend credit outreach to deserving micro and small enterprises across the country. With banks focusing on last-mile connectivity, the initiative is anticipated to act as a force multiplier in the sector’s growth journey.