Definition
SIDBI
SIDBI is the Small Industries Development Bank of India, the principal financial institution for promoting and financing the MSME sector.
SIDBI supports micro, small and medium enterprises through refinance to banks, direct lending, and funds for credit guarantee and venture capital. It is the apex institution coordinating finance and development for India's MSMEs, a major source of employment.
Beyond credit, SIDBI runs initiatives for technology upgradation, cluster development and fintech-enabled lending platforms. It also operates funds of funds that channel capital to startups and works with the government on schemes aimed at easing credit access for small businesses.
Related terms
- NABARDNABARD is the National Bank for Agriculture and Rural Development, the apex development financial institution for agriculture and the rural economy.
- Stand-Up India SchemeStand-Up India facilitates bank loans to Scheduled Caste, Scheduled Tribe and women entrepreneurs to set up greenfield enterprises.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.