Digital Desk:

Central Bank of India and fintech platform U GRO Capital signed a co-lending agreement to disburse loans worth Rs 1,000 crore to U GRO users in the next 12 months. Users in various MSME segments under programmes like Pratham, Sanjeevani, Saathi, GRO MSME and Machinery financing will benefit from this agreement.

“The co-lending agreement with Central Bank of India will work towards providing formal credit to undeserved MSMEs at affordable rates across all product categories of U GRO Capital,” as per an exchange filing by U GRO. The Central Bank of India will utilise U GRO Capital’s digital technology platform driven by Data Tripod of GST, banking and bureau besides the company’s deep sectoral understanding and multi-channel distribution reach for this purpose.

This collaboration has been enabled by U GRO Capital’s GRO-Xstream platform which integrates banks with multiple fintechs, payments platforms, NBFCs, marketplaces and other digital platforms. GRO-Xstream also empowers banks and large financial institutions to deepen their distribution reach and service MSMEs across India.

U-GRO Capital has also formed marquee partnerships with upstream and downstream BFSI partners that are to be integrated on GRO-XStream. Banks will co-lend through this platform with the loans originated by U GRO Capital’s distribution network in the initial stage whereas in future other participants on the platform. The GRO-XStream platform will utilise the banks’ capabilities on the liability side and U GRO Capital along with its origination partners and underwriting engine on the assets side to democratise MSME credit in India, as per its official communiqué filed with the bourses.

Leave a Reply

Your email address will not be published. Required fields are marked *