Canara Bank has signed a memorandum of understanding (MoU) with the Small Industries Development Bank of India (SIDBI) for co-financing small-scale industries (SSIs) and the service sector and for undertaking related infrastructure projects.
Canara Bank proposes to increase advances to SSIs by Rs 626 crore during the current fiscal year, a growth of 16.21 per cent, and to take the outstanding credit to the SSI sector to Rs 4,510 crore, said the bank's chairman and managing director, Mr R.V. Shastri.
Mr Shastri hoped the arrangement would help in accelerating the flow of credit to the SSI sector. The arrangement would create synergies in identifying, evaluating and extending finance to upcoming units, he said.
