Relying on Mentoring Programme Indian Bank Aims to Develop MSME Portfolio

The aim of Indian Bank is to develop its MSME portfolio relying on its small entrepreneurship mentoring programme, named MSME Prerana; as it will enable small businesses to access bank credit more easily.

The MSME portfolio of the bank is of Rs 65,176 Crore (17.34 lakh accounts), which is 18% of total advances portfolio. Within the first half of 2020-21, the MSME portfolio had grown by 14.73%.

The online training sessions are being implemented for MSMEs, under the Prerana, to train them in basics of accounting, maintenance of books of accounts, government and bank schemes. The training programmes are being arranged in the particular native languages of the participants, for the benefit of MSMEs. For Developing Entrepreneurs for this purpose, the bank has entered into tie-ups with Poornatha & Co, which is a entrepreneurial development organisation, as well as Michigan Academy.

Recently the lender has started its fourth cycle of MSME Prerana for entrepreneurs in Tamil Nadu. On October 6, 2020, MSME Prerana, was launched by Union Finance Minister Nirmala Sitharaman; the programme is a first-of-its-kind initiative by a bank for the MSME sector.

Padmaja Chunduru, MD & CEO, said: “MSME Prerana programme received very good response from MSME entrepreneurs and participation of more women entrepreneurs is overwhelming. The aim is to equip them of necessary skills to professionally handle volatile and uncertain situations and build confidence in them for a viable and sustainable business growth.”