PhonePe Partners with SIDBI to Launch Digital-First Udyam Assist Platform

In a major push toward financial inclusion, PhonePe has launched its digital-first Udyam generation process through the Udyam Assist Platform (UAP). The launch ceremony was graced by the Honourable Union Minister for Micro, Small, and Medium Enterprises, Shri Jitan Ram Manjhi, along with Smt. Y.M. Kumari, Chief General Manager of the Small Industries Development Bank of India (SIDBI).

With this launch, PhonePe becomes the first fintech to provide an end-to-end digital Udyam registration solution, setting itself apart from traditional platforms that still rely on manual certificate issuance.

Udyam Assist Platform: Powering MSME Growth

Developed and implemented by SIDBI as part of the Ministry of MSME’s Formalization Project, the Udyam Assist Platform (UAP) simplifies the registration of informal micro-enterprises.

Key features include:

• Online registration through designated agencies

• Generation of Udyam Registration Numbers

• Issuance of Udyam Assist Certificates

Enabling Micro-Merchants with a Formal Business Identity

Through the Udyam Assist Platform, informal micro-enterprises (IMEs) can now gain a formal business identity, unlocking access to:

• Government welfare schemes and tax benefits

• Business bank account openings

• Digital payments and financial services ecosystems

By simplifying the registration process, PhonePe is removing barriers for millions of small merchants, helping them seamlessly enter India’s growing digital economy.

At the event, Udyam Assist Certificates were issued to merchants through PhonePe’s new digital process, marking a key milestone in India’s financial inclusion journey.

PhonePe also signed a Memorandum of Understanding (MoU) with SIDBI, enabling integrated digital lending solutions via UAP. This partnership aims to improve credit access for micro-merchants, empowering them to grow their businesses faster.

Hemant Gala, CEO, PhonePe Lending, emphasized the broader impact of this initiative: “PhonePe has always been at the forefront of enabling digital financial inclusion. Today marks a pivotal moment for Digital India and millions of small entrepreneurs across our nation. We are deeply honored to be one of the first institutions to deliver a complete digital-first integration with the Udyam Assist Platform. Our partnership with SIDBI will unlock access to government schemes, credit facilities, and crucial benefits for MSMEs and will help contribute to India’s economic vision. Through PhonePe’s user-friendly and efficient, end-to-end digital solution, we’re not just facilitating registration– we are translating the vision of empowering small and micro businesses into a seamless digital reality.”

Highlighting the significance of the initiative, Smt. Y.M. Kumari, Chief General Manager at SIDBI, stated: “Udyam Assist Platform has emerged as a major driver for the formalization of non-GST registered Informal Micro Enterprises. The platform enabled issue of Udyam Assist Certificates to more than 2.75 crore small businesses, over a period of more than 2 years. Seamless digital integration with the designated agencies marks another important positive step in the formalization journey. This initiative will further accelerate the formalization of informal micro-businesses into the mainstream economy as well as ease out and enhance credit flow to these entities.”

By integrating UAP with fintech platforms like PhonePe, the Ministry is accelerating its mission to formalise micro-enterprises nationwide and drive inclusive economic growth.