State Bank of India (SBI) unveiled MSME Sahaj on Monday(July 1), an online business lending solution that allows MSMEs to borrow up to Rs 1 lakh against their GST-registered sales invoices. According to SBI, the new method would take less than 15 minutes from loan application to verification and payout, with no manual interaction required.
“The closure of the loan on the due date is also automated and is carried out by the system itself,” according to an SBI press release today.
The product’s goal is to provide “on tap” short-term loans for working capital needs to GST-registered Micro SME firms.
According to the bank, existing clients will be able to access the product digitally using the ‘Yono’ application.
The product, the release noted, is also meant to cater to sole proprietorship non-credit customers of SBI having satisfactory current accounts with the bank.
Dinesh Khara, Chairman, of SBI, said, SBI is committed to setting new industry benchmarks by introducing Digital Solutions in SME Business Loans.
“…MSME Sahaj is crafted with the vision of providing MSME units faster and easier finance using digital mode with the self-initiated end-to-end journey. MSME Sahaj is a result of our endeavour to integrate innovation and customer-centric approach to revolutionize the MSME lending universe, reducing human intervention and enhancing the ease of doing business,” Khara added.
Vinay Tonse, MD – Retail Banking and Operations, SBI said, “MSME Sahaj – Digital Business Loans for Invoice Financing will offer a unique proposition to our existing Micro SME units who are part of the GST regime to get immediate “on tap” short term credit for working capital requirement through digital mode on SBI’s Yono B.
Meanwhile, shares of SBI closed at Rs 842.1 each, down 0.8 per cent on BSE today, July 1.
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