Indian Bank Launches Unified Digital Platform For MSME Loans Up To Rs 5 Crore

New Delhi, Aug 6 (KNN) Indian Bank plans to digitise MSME loans of up to Rs 5 crore through a unified digital platform that will automate customer onboarding, loan processing and documentation, reducing turnaround time and enabling a seamless paperless lending process, a senior bank official said.

Indian Bank To Digitise MSME Loans Up To Rs 5 Crore

Speaking at the bank's 120th Foundation Day celebrations in New Delhi, Chief General Manager Sujay Malik said the initiative aims to eliminate delays in loan processing by enabling MSME customers to complete most of the lending journey digitally without visiting bank branches.

The proposed Unified MSME Portal, available through the bank's website and mobile application, will automatically retrieve customer details using PAN, GST and Udyam Registration numbers.

Financial information, including GST returns, Udyam certificates, CIBIL reports and bank statements, will be accessed through APIs and account aggregators, reported ANI.

Unified Portal To Offer In-Principle Loan Approval In 30 Minutes

A rule-based engine will recommend loan products and interest rates based on customer profiles, with in-principle approval expected within 30 minutes, followed by field verification and electronic sanction. 

Indian Bank will also launch MSME GST, enabling GST-based loan assessment and OTP-authenticated digital documentation for a fully paperless lending process, Malik said. 

Bank Launches Nationwide MSME Credit Outreach Programme

Indian Bank launched a nationwide Customer Outreach and Credit Outreach Programme from Delhi and plans to organise similar programmes across the country to strengthen engagement with entrepreneurs and customers.

During the outreach programme in New Delhi, the bank sanctioned MSME loans worth nearly Rs 500 crore to 128 beneficiaries. It also mobilised loan proposals worth Rs 1,250 crore, reflecting a strong pipeline for future business growth.

Indian Bank Managing Director and CEO Binod Kumar handed over sanction letters to the beneficiaries during the event.

MSME Loan Portfolio Crosses Rs 1.10 Lakh Crore

Malik said Indian Bank had 6,003 branches and a global business of Rs 15.30 lakh crore as of June 2026, including deposits of Rs 8.42 lakh crore and advances of Rs 6.85 lakh crore. 

RAM segments account for 66 per cent of advances. The bank serves 13.35 lakh MSME customers with a loan book exceeding Rs 1.10 lakh crore and operates 85 MSME Processing Centres to speed up loan processing. 

Delhi-NCR Emerges As Key MSME Growth Hub

Malik said Delhi-NCR contributes 4.45 per cent of Indian Bank's MSME business and recorded 17.5 per cent growth, supported by three MSME Processing Centres, five industry clusters, 19 MSME Trust branches, one specialised MSME branch and three mid-corporate branches. 

The bank also launched its Unified MSME Portal to strengthen technology-driven banking services. 

(KNN Bureau)