SIDBI's credit to MSME grows by 22 p.c.

LUCKNOW, INDIA: The Small Industries Development Bank of India's (SIDBI) outstanding credit to the MSME sector increased by 22 per cent to touch 46,331 crores in the financial year 2010-11 and the bank aims to grow this segment by another 35 per cent in the current fiscal year.

Chairman and MD, SIDBI, Sushil Muhnot, said that the interest rate rise would have some effect on the MSME sector but he was confident that SIDBI's target for the current fiscal would be achievable.

He said that the overall growth in the MSME sector besides their plans to cater to the requirement of equity by MSME's would enable SIDBI to achieve its growth target.

SIDBI had achieved the milestone of cumulative disbursement of Rs 2 lakh crores at the end of March 2011, and the bank expects to grow by 18-20 per cent in the current fiscal, Sushil Muhnot said at the 13th annual general meeting of the bank on Friday.

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