SIDBI organized a conclave of Heads of Regional Rural Banks on August 25, 2026, in New Delhi to expand the SIDBI-RRB MSME Co-Lending arrangement. The event was chaired by Shri Sanjay Lohiya, Secretary of the Department of Financial Services, and attended by Shri Manoj Mittal (CMD, SIDBI), senior officials from DFS, SIDBI, and NABARD, and Chairmen of all 28 Regional Rural Banks.
Secretary Lohiya emphasized the critical need to scale up MSME lending in rural and semi-urban areas by leveraging SIDBI's expertise in understanding MSME credit needs and RRBs' extensive reach across smaller towns and villages. This arrangement will help RRBs diversify their loan portfolios while maintaining good asset quality through rule engine-based underwriting. Additional Secretary, DFS highlighted the importance of using MSME cluster data for targeted outreach and urged RRBs to support India's transformation into a next-generation manufacturing hub while participating in state government Rozgar Melas to enhance financial awareness among MSMEs.
SIDBI has developed an end-to-end digital Co-Lending Origination Platform that enables faster, paperless credit processing with quick sanction and disbursement. The platform provides in-principle sanctions within very short turnaround times and allows complete digital documentation and disbursement directly to customer accounts without requiring branch visits. Following successful pilot implementation at three RRBs, the program's expansion is expected to significantly address credit needs of micro and small enterprise borrowers in rural and semi-urban areas.