Kolkata: State of Bank of India (SBI) on Thursday entered into a seller financing scheme with a tie up with e-com major Snapdeal.Under this scheme, SBI will provide loans to small and medium enterprises at easier interest rates. Data regarding the sellers will be provided by Snapdeal. Arundhati Bhattacharya, Chairman, SBI, said “Rates of interest will be determined by the credit worthiness of the seller.” She is in the city for MoU signing cremony with Snapdeal.The country’s biggest lender (SBI) had an MSME loan book of approximately Rs.170,000 crore as on December 31, 2014.
The seller financing scheme will help MSMEs — traders, sellers and manufacturers — scale up their operations by catering to their working capital requirements, Bhattacharya said.According to Kunal Bahl, CEO, Snapdeal, there are at least 150,000 sellers associated with Snapdeal. E-com major Snapdeal operates in a marketplace model.
Again, State Bank of India (SBI) entered into a strategic partnership with digital payments company, PayPal, to facilitate cross-border trade and payments. The service will be extended to SBI and PayPal users both in India and abroad and is targeted at small and medium enterprises (SMEs). SBI currently, has over 900,000 SME customers.