SIDBI logs Rs 1,120cr net profit in FY17

7 Jul 2017

State-owned Small Industries Development Bank of India (SIDBI) has registered a net profit of Rs 1,120 crore for the 2016-17 fiscal.
This was, however, Rs 57 crore less than the profit SIDBI had posted in the previous fiscal.
Briefing mediapersons after SIDBIs AGM here on Friday, its deputy managing directors Ajay Kumar Kapur and Manoj Mittal said the banks net worth increased by 19 per cent to Rs 12,905 crore during the period under review.
They said SIDBI has been constantly striving to augment credit flow to the MSME sector through various strategic initiatives.
As a part of its strategy to partner with other lenders for providing financial assistance to MSMEs, SIDBI entered into MoUs with Vijaya Bank and Capital Small Finance Bank Ltd.
SIDBI also said FY 2017 saw operationalisation of the countrys first Trade Receivables Discounting System (TReDS) by Receivable Exchange of India Ltd, a company promoted by SIDBI in partnership with National Stock Exchange.
Besides, SIDBI has been playing a key role by supporting central government schemes like Make in India, Start-up India, Stand-up India and MUDRA, its managing directors said.
SIDBI has also been providing a number of promotional and developmental supports like rural industrialisation, entrepreneurship development, skill up-gradation, marketing support, financial literacy, credit advisory services and cluster development.
These promotional and developmental supports of SIDBI have helped in setting up of more than 80,000 units, created 1.5 lakh employment opportunities and benefited more than 2.3 lakh people in the MSME sector.
SIDBI has touched the lives of more than 360 lakh people in the MSME sector, directly and indirectly through various credit measures, the bank said in a release.
The release said that during FY 2016-17, the banks balance sheet size increased by 4.2 per cent to Rs 79,682 crore and the credit outstanding increased by 4 per cent to Rs 68,290 crore as compared to last FY.
Its gross NPA percentage declined during the year to 1.2 per cent, whereas the net NPA improved to 0.44 per cent, it added. (PTI)