BS Samriddhi: 'Uttar Pradesh has turned into a vibrant startup hub'

Indian Bank's Sudhir Kumar Gupta outlines how credit, fintech partnerships and startup funding can help Uttar Pradesh move towards a $1 trillion economy

Indian Bank is the leading lender in 13 districts of Uttar Pradesh (UP) and committed to the state’s economic growth, says Sudhir Kumar Gupta, chief general manager of the state-owned company. Gupta, in an interview with Virendra Singh Rawat at the Business Standard Samriddhi conference in Lucknow, explains how Indian Bank supports small businesses and startups. Edited excerpts:

 

UP aims to be a $1 trillion economy. How can the banking sector help in this regard? 

The banking sector will be a key enabler. It will drive growth by facilitating the flow of credit to priority sectors such as MSMEs, housing, agriculture and infrastructure. Banks support industrial clusters through tailored financial products for their needs. Additionally, the sector will advance financial inclusion by expanding branch networks, strengthening the business correspondent (BC) model and leveraging digital banking solutions. By partnering with government initiatives for skill development and entrepreneurship financing, banks will empower individuals and businesses to create a robust ecosystem for sustainable economic growth.

 

Fintechs are gaining traction. How have they impacted the banking sector? 

The fintech ecosystem is reshaping the banking sector through digital transformation, better customer service, collaborative models, and competitive pressure. Banks are partnering with fintechs for lending, wealth management and payment solutions. By adopting artificial intelligence, blockchain and API-based platforms, banks are enabling faster and seamless app-based services.

 

What is Indian Bank doing for small borrowers? 

Indian Bank is strengthening its efforts to promote financial inclusion by expanding self-help group financing under schemes such as NRLM [National Rural Livelihood Mission] and SRLM [State Rural Livelihoods Mission]. To ensure last-mile connectivity, the bank is deploying BCs who deliver essential banking services in remote areas. It is also simplifying processes to provide micro loans and Kisan Credit cards, making finance more accessible to farmers and small entrepreneurs. By leveraging digital platforms, Indian Bank is enabling doorstep banking.

 

Uttar Pradesh’s One District, One Product (ODOP) scheme is reviving traditional crafts and industries. How is the Indian Bank supporting this initiative? 

As the lead bank in 13 districts of Uttar Pradesh, Indian Bank plays a significant role in the ODOP scheme by providing working capital and term loans to entrepreneurs and units by offering customised credit products aligned with ODOP clusters. It also helps ODOP businesses by conducting training.

 

What is Indian Bank doing to facilitate seed capital to startups? 

Uttar Pradesh has become a vibrant startup hub with about 18,568 companies, including nearly 8,000 led by women. Indian Bank is contributing to this growth by implementing dedicated startup financing programs within its MSME vertical and collaborating with incubators and accelerators to identify and support promising ventures. Indian Bank facilitates easy access to credit through collateral-free loans under schemes like IND-Startup, which is designed to leverage the Credit Guarantee Scheme for startups and provide guarantee coverage for credit facilities up to

₹20 crore.