Central Bank of India ties up with SFISPL to offer agriculture and MSME loans, widens portfolio

Featured in The hindu businessline

“The participation by both the entities in this co-lending arrangement will result in greater expansion of portfolio by Central Bank of India and Samunnati Financial Intermediation & Services Private Limited.”

Central bank of India has entered into a strategic co-lending partnership with Samunnati Financial Intermediation & Services Private Limited to offer agriculture MSME loans. “The participation by both the entities in this co-lending arrangement will result in greater expansion of portfolio by Central Bank of India and Samunnati Financial Intermediation & Services Private Limited,” Central Bank of India said in a regulatory filing.

Samunnati Financial Intermediation & Services Private Limited (SFISPL) is registered with Reserve Bank of India and is engaged in providing loans for agriculture and allied activities as well as to the MSME sector.

SFISPL exclusively works in the agriculture sector to make the agri value chains work at a higher equilibrium to make markets work for smallholder farmers. As on date, SFIFPL is functioning in 22 states with offices in over 30 locations. As on 31.3.2023, SFISPL is managing an AUM of Rs 1150 crore.

Under the arrangement, SFISPL will originate and process loan proposals under agriculture and MSME sector as per jointly formulated credit parameters and eligibility criteria and Central Bank of India will take into its books 80 per cent of the agriculture and MSME loans under mutually agreed terms. SFISPL will service the loan account throughout the life cycle of the loan. “The co-lending arrangement is expected to help both the entities to offer convenient experience and customer delight to their customers as well as help expand their reach across India,” it said.

Leave a comment

You might also like

Agricultural lending is not risky

2 October 2018

Agricultural lending is not risky

Samunnati, the Chennai-based NBFC operating in the agricultural space, has a unique model to fund agri-related activities. While most financial...

Samunnati – GrainPro Partnership Takes Off to Boost Income of Smallholder Farmers

17 May 2021

Samunnati – GrainPro Partnership Takes Off to Boost Income of Smallholder Farmers

Featured in GrainPro In the midst of the COVID-19 global health pandemic, smallholder farmers are facing unprecedented challenges. That’s why a...

Samunnati launches digital FPO directory

3 September 2024

Samunnati launches digital FPO directory

Featured in thehindubusinessline Agri chain financier Samunnati, in collaboration with the National Association for Farmer Producer Organisations (NAFPO), has launched ‘Bharat...

Telangana ‘convincing’ farmers to shift from paddy to overcome surplus output

25 June 2023

Telangana ‘convincing’ farmers to shift from paddy to overcome surplus output

Featured in The hindu businessline State looking for a solution as it has to procure the surplus grain as the Centre is not procuring parboiled rice,...