SIDBI Full Form Name: SIDBI Meaning

Full Form of SIDBI:

Small Industries Development Bank of India

SIDBI Full Form is Small Industries Development Bank of India. SIDBI refers to an autonomous financial institution targeted at aiding the development and growth of micro, small and medium enterprises (MSMEs). It started as an agency to various state level financial institutions and banks for crediting small industries but eventually expanded its operational coverage including the provision of direct credit to these MSMEs by means of 100 branches established in all main industrial areas of the country. Apart from this, it has been playing a key role in the development of MSMEs by lending support to small-sized financial institutions for infrastructural developments.

Lately, it has come up with seven branches named as Micro Finance branches aimed particularly at giving loans to the tune of Rs. 5 lacs. SIDBI is a primary financial institution engaged in the promotion, development, and financing of the MSME sector as well as in the coordination of the operations of those institutions involved in similar activities. SIDBI is one of the pioneering development banks in the world and remains among the top 30 development banks and financial institutions of the world as per the ranking produced by the Banker, London.

Its Credit Guarantee Fund Trust for Micro and Small Enterprises (abbreviated as CGTMSE) is largely used by public sectors Banks as well as private sector banks for funding MSME sector. SIDBI has come up with many entities that discharge related functions, namely: Credit Guarantee Fund Trust for Micro and Small Enterprises that offers guarantees to banks in respect of collateral free loans extending to SME; SIDBI Venture Capital Limited which is essentially a venture capital company aimed at SME; SME Rating Agency of India Limited, which makes provision of composite ratings to various SME; India SME Asset Reconstruction Company.

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