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PSBs Sanction Rs 52,300 Crore in MSME Loans via Digital Model for April–December 2025

Finance Ministry reports an at-scale rollout that uses verified digital data to accelerate MSME appraisals.

Overview

  • A ministry statement on January 19 detailed more than 3.96 lakh MSME applications sanctioned under digital underwriting across public sector banks during April–December 2025.
  • The Credit Assessment Model, launched by PSBs in 2025, relies on digitally fetched, verifiable data for objective decisioning and model-based limit assessment.
  • Data inputs include KYC authentication, mobile or email verification, GST filings, bank statements via account aggregators, ITR checks, and CIC-based due diligence with fraud screening.
  • The platform enables 24/365 online applications with instant in-principle sanctions, reduced paperwork, no branch visits, faster turnaround, and integration with credit guarantee schemes such as CGTMSE.
  • In a related policy step effective January 15, CBIC extended RoDTEP and RoSCTL benefits to electronic exports sent through the postal channel to support MSME exporters.