Page 5 - Banking Finance October 2020

BANK UPDATE

Banking News

ADB to provide $570-mn more than double that of the last year, micro, small and medium enterprises
says an international report. (MSME) sector impacted by slowdown
loans to two states
The COVID-19 pandemic has seen India caused by the coronavirus pandemic.
The Asian Development Bank (ADB)
said it has approved two loans total- doubling its every day real-time trans- Of this, about 2.7 million MSME units
ling $570 million (about Rs. 4,200 actions at 41 million, says the latest received cumulative disbursement of
crore) for urban sector projects in report from FIS, which is a leading pro- Rs. 1.3 trillion till October 5. The
Rajasthan and Madhya Pradesh. vider of technology solutions for mer- scheme is the biggest fiscal component
chants, banks and capital markets firms of the Atmanirbhar Bharat Abhiyan
The ADB said it has approved a $300
globally. package.
million loan to develop Rajasthan's
secondary towns and a $270 million According to the report released, six Indian Bank launches Busi-
loan for Madhya Pradesh Urban Ser- other countries also saw more than
vices Improvement Project. In a state- doubling of their real-time payment ness Mentoring Progra-
ment, ADB said the $300-million loan transactions year-over-year, while four mme for MSMEs
has been approved to finance inclusive saw at least a twofold increase in
water supply and sanitation infrastruc- transaction value. In a bid to handhold the MSME sector,
ture and services in secondary towns But in terms of the growth rate, the Indian Bank has launched 'MSME
of Rajasthan. "The project is expected Prerana', a Business Mentoring
list is topped by Bahrain with 657% Programme. The programme was
to build citywide access for improved growth, followed by Ghana clipping at
water supply services for around launched by the Finance and Corpo-
488%, the Philippines growing at rate Affairs Minister Nirmala
570,000 people and enhanced sanita-
tion services for about 720,000 people 309%, Australia at 214%, and Poland at Sitharaman in Chennai.
in at least 14 secondary towns. These 208%.
localities have 20,000-1,00,000 resi- HDFC Bank chief assures
dents," it said. Banks sanction Rs. 1.87 employees that jobs are
trillion to MSMEs under safe
India becomes global
ECLGS HDFC Bank's Managing Director and
leader in financial transac-
The Finance Ministry has said banks CEO Aditya Puri has assured employees
tions have sanctioned loans of about Rs. 1.87 that their jobs and bonuses are safe.
India has become the global leader in trillion to 5 million business units under His comments come amid the Covid-19
real-time financial transactions with 41 the Rs. 3 trillion Emergency Credit Line pandemic and economic uncertainty
million transactions per day, which is Guarantee Scheme (ECLGS) for the that has resulted in job losses and sal-

BANKING FINANCE | OCTOBER | 2020 | 5