Central Bank signs pacts with Protium Finance and Incred Fin to offer loans

The state-owned Central Bank of India has entered into co-lending partnerships with Protium Finance and Incred Financial Services to provide loans to MSME borrowers.

The partnerships will allow for greater expansion of the bank’s portfolio and those players, the bank said on Friday.

The public lender said that Protium Finance will originate and process proposals from MSMEs under the priority sector in accordance with the jointly formulated credit parameters and eligibility criteria and that the Central Bank of India will take on its books 80% of the MSME priority sector loans under mutual agreement. terms.

“Protium Finance Limited will manage the loan account throughout the loan lifecycle. The co-loan agreement is expected to help both entities…as well as help expand reach across India,” the bank said. in a regulatory file.

Protium Finance has a branch network in 11 states and an AUM of 1,671 crore as of July 31, 2022, with a customer deductible of 1,08,447.

Similarly, Incred Financial Services will issue and process loans to MSMEs on a priority basis and will support 80% of these loans. IFSL will manage the loan account throughout the life cycle of the loan.

With branches in 9 states, Incred Financial Services offers consumer loans, education loans, and MSME loans.

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