MSME loans will be 'focal point' for growth over next 5 years: SBI

SBI, the country’s largest lender, has announced that small business lending will be the primary focus for growth and profit over the next five years. The bank launched "SME Digital Business Loans," enabling loan sanctions within 45 minutes. This initiative aims to enhance credit accessibility for small businesses through customer service points and QR codes. \r

For the fiscal year ending March 31, 2024, SBI's SME book grew by over 20% to Rs 4.33 lakh crore, with gross NPAs reduced to 3.75% from 9.43% in FY20. The new digital loan product offers a fast, intuitive lending process, leveraging data from ITR, GST returns, and bank statements. \r

Loans up to Rs 50 lakh do not require financial statements, relying on transaction history and GST returns instead.