Small Industries Development Bank of India (SIDBI) on Thursday announced that it has become the first financial institution (FI) to support the first-of-its-kind Dalit Indian Chamber of Commerce & Industry (DICCI) SME Fund for investment in companies prom
Small Industries Development Bank of India (SIDBI) on Thursday announced that it has become the first financial institution (FI) to support the first-of-its-kind Dalit Indian Chamber of Commerce & Industry (DICCI) SME Fund for investment in companies promoted by SC/ST entrepreneurs.
According to a press release issued by SIDBI, Sushil Muhnot, Chairman and MD, SIDBI handed over a commitment letter to Milind Kamble, Chairman, DICCI contributing Rs 10 crore to the Rs 100-crore corpus of DICCI SME Fund.
The Fund will be largely ‘sector agnostic’ and will be investing in high growth companies (promoted by SC/ST/ Dalit entrepreneurs) that are SMEs; members of DICCI and with proven track record and management capability.
Present at the occasion, Union Finance Minister P. Chidambaram complimented SIDBI for being the first FI to contribute to the DICCI SME Fund and urged other FIs to do the same. He also urged every branch of every bank in the country to support one SC/ST/Dalit entrepreneur. He encouraged more SMEs to list on the stock exchanges.
Speaking on the occasion, Muhnot said, “Union Finance Minister has often said that for accelerated economic development, we need the micro units to grow to small enterprises and then to mid-sized firms and then large companies. For this to happen, they need both debt and equity. The availability of a formal source of equity is very less and therefore Hon. Finance Minister created the Rs 2,000-cr Risk Capital Fund through SIDBI. This Fund is being used by SIDBI to provide risk and venture capital to SME focused funds like DICCI SME Fund. The DICCI SME Fund will meet the twin objectives of job creation and also inclusive growth as well as social equity.”
“I support DICCI’s slogan of encouraging job seekers to become job givers. And I also encourage the SC/ST/ Dalit entrepreneurs to visit smallb.in, which is SIDBI’s initiative to stimulate youth entrepreneurship and help all others to set up their own enterprises,” added Muhnot.