Public sector oldie, SBI, the largest bank in India has signed an MoU with ecommerce firm Amazon to help its SME clients to find market for their products. The details of the MoU, signed on Wednesday will be revealed soon.
On the matter, the bank’s Chairman, Arundhati Battacharya has told media that the objective of the bank is to make its customers benefited in the digital era. “Giving people (customers) the best experience in buying and selling is what we are looking at. There are thousand ways to bring each other clients under this MoU.”
“India SMEs have great products but they don’t know how to sell.” She told that there should be better marketing options of the SMEs.
SBI has large number of SMEs loan takers, but many of them have defaulted in the wake of the economic slowdown. Ecommerce is a new area and arranging more selling options for its SME customers by providing intermediary functions will have good purpose. SBI has called the new drive as ‘seller financing’.
The bank is aiming to reach similar MoUs with other ecommerce players like Flipkart.
For Amazon, the MoU will great mileage as it is partnering with the leading public sector bank in supporting the SME sector. More than that, it may enhance the Indianisation’ drive of the US firm.