- State Bank of India unveiled MSME Sahaj, a digital lending solution for micro, small, and medium enterprises (MSMEs).
- The tool leverages data from the applicant’s Goods and Services Tax Identification Number, bank statements, and credit card payment histories to underwrite a loan for short-term, working capital.
- MSME Sahaj will be available on State Bank of India’s YONO digital banking app.
State Bank of India (SBI), the nation’s largest bank, announced a new digital lending solution for micro, small, and medium enterprises (MSMEs) this week. The new offering, MSME Sahaj, is a web-based digital business loans solution for MSMEs’ invoice financing.
“The launch of MSME Sahaj aims to provide the fast and most intuitive lending solution, further solidifying our position as the leading MSME lender in the country,” said SBI Chariman Dinesh Khara.
MSME Sahaj is what the SBI is calling a “data-driven invoice financing credit assessment engine.” The holistic tool will allow MSMEs to apply for and receive a loan within 15 minutes. The system will also automatically close the loan on the due date.
Leveraging data from the applicant’s Goods and Services Tax Identification Number, bank statements, and credit card payment histories, MSME Sahaj allows businesses to take out a loan against their GST registered sales invoices of up to around $1,200 (₹1 lakh).
“MSME Sahaj – Digital Business Loans for Invoice Financing will offer a proposition to our existing Micro SME units who are part of the GST regime to get immediate on tap short term credit for working capital requirement through digital mode on SBI’s Yono app,” said SBI MD – Retail Banking & Operations Vinay Tonse.
SBI said that the purpose of the loans is to offer businesses a quick way to access short-term credit on its digital banking platform, YONO. YONO, which stands for, “You Only Need One” is a mobile app designed to meet a variety of customer needs, including banking, investment, insurance, travel booking, and daily shopping needs.