After signing an MoU with SIDBI, the Union Bank of India is all set to lend Rs 800 crore to small scale industries (SSIs) and small and medium enterprises (SMEs) in Gujarat. Last year the bank achieved the target of Rs 500 crore. | |
| "This year our target has increased from Rs 500 crore to Rs 800 crore for SMEs and SSIs in Gujarat where in we will focus the companies that are into manufacturing," said T K Sharma, General Manager, Union Bank of India. |
| |
| He further said the bank has already signed an MoU with SIDBI for joint lending to SMEs. "The arrangement will facilitate identification and co-financing of SME clients by SIDBI and the bank in select industrial clusters of the state," said Sharma. |
| |
| According to Sharma, the Union Bank has identified SSIs and SMEs as one of its thrust areas for growth in lending. |
| |
| "The bank's outstanding exposure of SMEs all across India in 2005-06 was Rs 6,834.20 crore and we are targeting a growth of 25 per cent in the said portfolio in the current year," he said. |
| |
| Talking about expansion plans in Gujarat Sharma said, "For the year 2006-07 we have a plan to establish 10 ATMs and eight branches in Gujarat." |
| |
| He further said the bank also plans to install a kiosk in Surat. "In our new branch at Surat which is yet to commence, we will install a kiosk which will be similar to ATM. This kiosk will collect cash as well as cheques round-the-clock," said Sharma adding that this will be the first kiosk in the Gujarat. |
| |
|
| |
