SIDBI to fund infrastructure projects worth Rs 4,800 cr in North Eastern Region

BUSINESS-NORTHEAST EXCLUSIVE INTERVIEW

Guwahati: In an exclusive interview with Business North East, Small Industries Development Bank of India (SIDBI) Deputy General Manager Pradeep Kumar Nath said that the development bank will fund state government-backed infrastructure projects worth Rs 4,800 crore in the seven states of the northeastern region to boost connectivity and improve the business environment to attract investors.

“SIDBI will be focusing in the coming months on the overall development of infrastructure in the North Eastern Region." We will fund infrastructure projects in roads, power, and other allied sectors. "Our aim is to develop a sustainable business environment for local and foreign entrepreneurs,” Nath said.

On funding local entrepreneurs, Nath said that the development which mainly makes available credit flow to Micro Small Medium Enterprises is weighing options to fund projects of local entrepreneurs directly.

In direct lending, the portfolio of the bank is very low in the region, which stands at approximately Rs 6-7 crore.
“SIDBI wants to play a parental role to set up institutions with an intention to reach the last mile and poorer sections of the society. With this aim, SIDBI will have a focused plan for the skill development of the youths of the North East and will partner with the state government for the cause. Some major initiatives will be launched soon, "Nath said.

Mr. Nath adds that, besides all these projects, SIDBI will be a pronounced name as far as the infrastructure and skill development programs are concerned.

We will continue to work with MSMEs to promote industrialization in the NE region.
“A few initiatives which we are taking will prove to be a game-changer in the development of Micro, Small, and Medium enterprises. "This will greatly accelerate the industrial development of the North East,” Nath said.
Notably, the Emergency Credit Line Guarantee Scheme (ECLGS) to get access to additional credit during the outbreak of the COVID 19 pandemic has been extended till March 2023, and its guarantee cover expanded by Rs 50000 crore to Rs 5 Lakh crore.

The SIDBI (Small Industries Development Bank of India) is a wholly-owned subsidiary of IDBI (Industrial Development Bank of India), established under the special Act of Parliament in 1988 which became operative on April 2, 1990.
SIDBI was made responsible for administering Small Industries Development Fund and National Equity Fund that was administered by IDBI before. SIDBI is the Primary Financial Institution for promoting, developing, and financing MSME (Micro, Small, and Medium Enterprise) sector. Besides focussing on the development of the Micro, Small, and Medium Enterprise sectors, SIDBI also promotes cleaner production and energy efficiency.

SIDBI helps MSMEs acquire the funds they require to grow the market and develop and commercialize their technologies and innovative products. The bank provides several schemes and also offers financial services and products to meet the individual requirements of various businesses.