Central Bank of India, Mamta Projects enter into co-lending partnership for MSME loans

New Delhi, Jan 12 (KNN) The Central Bank of India has entered into a co-lending partnership with Mamta Projects (MPPL) to offer MSME loans at competitive rates.

Under this partnership, the Mamta Projects will originate and process MSME loan proposals under priority sector as per jointly formulated credit parameters and eligibility criteria and Central Bank of India will take into its books 80 per cent of the MSME loans under priority sector under mutually agreed terms.

MPPL will service the loan account throughout the life cycle of the loan. The Co-Lending arrangement is expected to help both the entities expand their reach across India.

MPPL is a new-age, tech and risk-analytics focused lending institution. MPPL is an RBI regulated non-banking financial company and its business verticals include MSME lending, education loans, personal loans and anchor based financing.

Central Bank of India is a public sector bank. The Government of India holds 93.08 per cent stake in the bank.

The state-run lender's net profit rose 27.26 per cent to Rs 318.17 crore on 8.24 per cent increase in total income to Rs 7,064.96 crore in Q2 FY23 over Q2 FY22.  (KNN Bureau)