The Small Industries Development Bank of India (SIDBI) has entered into a memorandum of understanding (MoU) with the Technology Development Board (TDB) under the Department of Science and Technology. The MoU aims to facilitate enhanced credit access for Micro, Small, and Medium Enterprises (MSMEs) engaged in developing and applying indigenous or imported technology for broader domestic applications. SIDBI and TDB will collaborate to refer additional funding requirements of previously funded companies to each other. Dedicated contacts within both organizations will streamline coordination, ensuring a seamless exchange of referrals. Additionally, financial support will be extended to eligible MSMEs in alignment with respective policy guidelines. The collaboration seeks to foster innovation, job creation, and overall economic development in the MSME sector. Rajesh Kumar Pathak, Secretary of TDB, expressed the significance of the collaboration in promoting technology development and creating an environment conducive to the growth of innovative MSMEs.

Comprehensive Support Beyond Financial Assistance

In addition to financial support, SIDBI and TDB will engage in outreach and marketing activities to promote the initiative, reaching a wider audience of MSMEs. The collaboration builds on SIDBI’s recent initiatives, including the launch of the MSME Economic Activity Index – Sumpoorn in partnership with Jocata. The index leverages anonymized monthly sales data from over 50,000 MSMEs, aiming to bridge the knowledge gap and support stakeholders in strategizing credit flow and formulating policies for sustainable MSME growth.