Yes Bank targets SMEs in UP

The new age Yes Bank is targeting Small and Medium Enterprises (SMEs) in Uttar Pradesh for meeting their working capital needs and growth plans.

The Bank has also entered into an agreement with the industry chamber, Indian Industries Association (IIA), for reaching out to the SMEs in UP across verticals.

Under its Business Banking initiatives, the Bank will provide an array of financial services, including lending and advisory, to the SMEs having a minimum turnover of Rs 150 crore.

The Bank is basically focusing on SMEs dealing in light engineering, IT, pharma, agri business, gems and jewellery, telecom and media.

At present out of the 60 Business Banking branches in the country, UP has 8, which would be doubled by the end of the current financial year, said Varun Tuli, president, Business Banking, Yes Bank.

Under its cluster approach, the Bank has identified Noida, Lucknow and Moradabad industrial belts for Business Banking in UP. These clusters have hundreds of SMEs engaged in manufacturing and export activities.

The Bank would lend a maximum of Rs 15 crore to a single company and Rs 25 crore to a Group entity depending upon the business model and growth plans, Tuli informed.

"We aim that the SMEs lending in the region contribute to 15-20 per cent of our total business volume or about Rs 3,000 crore this fiscal," he underlined.