Orissa government tied up with Central Bank Of India to strengthen credit flow to MSME

The Orissa government has tied up with the state-run Central Bank of India to strengthen credit flow to micro, small and medium enterprises (MSME) in the state. The Industrial Investment Promotion Corporation of Orissa Limited. (IPICOL), Orissa and Central Bank of India (CBI) signed a memorandum of understanding (MoU).

As per the MoU, the bank will deploy additional funds to the tune of Rs 25,000 crore in the State on incremental basis over a period of five years. Within 30 days of receipt of an investment proposal, the Bank will provide banking and other related facilities from its branches within or outside Orissa. The bank will establish entrepreneurship development institutions at potential locations in the State to take up modern entrepreneurship development, skill upgradation and other related training and capacity planning activities. The State Government will provide the required land at mutually identified potential locations to the bank, which will establish dedicated branches for micro, small and medium enterprises.

The deal was signed by the bank and the state-run Iipcol at the state secretariat in the presence of Chief Minister Naveen Patnaik. Addressing the function, Chief Minister Naveen Patnaik said that the State Government and the bank will form a steering committee to supervise and monitor effective implementation of the MoU. Post-agreement, it would be easier for entrepreneurs to get credit facilities from the bank, he said. Central Bank will also set up entrepreneurship development institutions or rural development and self-employment training institutes to train potential entrepreneurs, he said.

IPICOL CMD Suresh Patnaik and CMD of the bank S Sridhar signed the MoU. Among others, Industry Minister Raghunath Mohanty and chief secretary TK Mishra were present.