MSME Financing and Development Project (MSMEFDP), a multi activity, multi-agency Project on Financing and Development of MSMEs attends to demand and supply needs of MSME sector through provision of financial and non financial services and creation of enabling environment wherein sustainable growth of MSMEs are assured & ensured. While Department of Financial services, MOF GOI is the nodal agency, SIDBI, as an implementing agency, extends umbrella support to international partners World Bank and KFW (who have extended credit Facility for meeting financial needs) and DFID UK, KfW and GtZ Germany ( who have extended Technical Assistance to meet non financial needs).
Objectives of the project-
The project adopted a super goal to increase income and employment in Micro, Small and Medium Enterprises (MSMEs) in India and goals of :-.
- fostering MSME growth, competitiveness and employment creation.
- Improving MSME access to financial and Non financial services
- Making MSME lending an attractive and viable financing option
- Improved access and terms of finance to MSMEs (World Bank and KfW lead)
Project adopts an innovative effort to attend to poverty alleviation through enterprise development in MSME domain (a domain which is the nursery bed of innovation) . The grounding of enterprises and instilling competitiveness in them immensely contributes to national development as also the Millennium Development goals.
Scope of the project –
Through its three major components, viz. Credit Facility, Risk Sharing Facility and Technical Assistance component, project’s outreach extends to Pan India Basis. The target population spans across stakeholders of MSME domain and attends to players on demand and supply side i.e. MSMEs, Financial Institutions / bankers/SFCs etc., BDS providers and stakeholders of MSME domain etc.