Hyderabad: Minister K.T. Rama Rao on Tuesday proposed a tie-up between the TS Finance Corporation (TSFC) and Indian Bank to develop mechanisms to help micro, small and medium-scale businesses.
Inaugurating Indian Bank's new initiative, MSME Prerana, to mentor small businesses, the minister said the government would be interested in partnering with the bank to address the issue of collaterals that most of the MSMEs face when they try to raise a loan.
Requesting the bank to step up its priority sector lending in the state, Rama Rao said the banks should exercise restraint in invoking the Sarfesi Act against MSMEs.
Earlier, Indian Bank managing director Padmaja Chunduru said the bank will channelize its resources towards empowering MSME entrepreneurs. "We look forward to equipping customers with relevant knowledge and enhance their confidence as well as decision-making abilities through MSME Prerana,” she said,
She said the programme, which would be in Telugu, was designed in collaboration with Poornatha and Co.