Private lender Federal Bank today said it has created a corpus exclusively for investment in startups.
"The primary objective is to provide long-term capital to startup companies with innovative ideas, potential for high growth and ability to bring socio-economic impact," the Kerala-based private sector lender said in a statement.
The fund will be used for supporting small ticket projects in diverse sectors like digital financial services, biotechnology, hi-tech farming, healthcare, logistics, e-commerce and e-markets.
"The initial corpus is of Rs 25 crore which is scalable. To start with, the bank will focus on projects in Kerala and Gujarat," it said.
In March this year, Federal Bank had joined hands with startup village in Kerala and MobME wireless to launch a FinTech Accelerator Programme that aims at speeding up technological innovations in the financial sector space.
