Dailymirror.news,Hyderabad,September 23, 2024:YES BANK, the sixth-largest private sector bank in India, is making significant strides in promoting innovation and growth within South India’s Micro, Small, and Medium Enterprises (MSME) sector. This region, particularly in states like Tamil Nadu, Karnataka, and Kerala, is pivotal to India’s ambition of reaching a $5 trillion economy, with the MSME sector playing a crucial role in contributing to the national GDP.

Tamil Nadu boasts over 21.74 lakh MSMEs, while Bengaluru stands out as a global tech hub, nurturing numerous tech-driven businesses. Kerala’s MSMEs excel in the service and manufacturing sectors, showcasing the diversity and dynamism of the region’s economy. The MSME sector in Peninsular India is projected to grow at a compound annual growth rate (CAGR) exceeding 8.5% by 2030, emphasizing its substantial potential.

YES BANK’s dedication to fostering innovation among South India’s MSMEs is evident in its comprehensive suite of digital banking solutions. Central to this initiative is the YES MSME Online Platform, which provides MSMEs with streamlined access to working capital loans, trade finance solutions, and risk management tools. This platform is vital for enterprises involved in global trade, enabling them to efficiently secure export financing, mitigate currency risks, and manage international transactions.

Understanding the regional leadership in IT and manufacturing, YES BANK offers tailored financial products designed to keep these businesses globally competitive. MSMEs in major tech hubs like Bengaluru and Chennai benefit from solutions such as working capital loans, vendor financing, and technology adoption loans, ensuring they remain innovative while addressing challenges like scaling operations and supply chain management.

Moreover, YES BANK recognizes the regional diversity within South India. For instance, the manufacturing sector in Tamil Nadu, which includes textiles and automobiles, thrives on structured finance products. Conversely, Kerala’s MSMEs, rooted in services and manufacturing, require customized risk management services to navigate the complexities of global trade. YES BANK’s foreign exchange services and cybersecurity solutions play a crucial role in helping these enterprises manage risks associated with global markets.

Aligned with the global sustainability movement, YES BANK has emerged as a leader in green financing for South India’s MSMEs. The bank encourages businesses to adopt renewable energy solutions, such as solar power, while promoting eco-friendly practices across various industries. By providing loans for waste management, energy efficiency, and sustainable production practices, YES BANK ensures that the region’s MSMEs grow while contributing to India’s vision of a greener future.

Mr. Rajan Pental, Executive Director of YES BANK, emphasized the bank’s commitment to addressing the MSME credit gap, stating, “MSMEs contribute approximately 30% to India’s GDP and nearly 50% to exports, yet they face a staggering credit gap of $33 trillion. YES BANK is dedicated to being a catalyst for their growth through initiatives like our MSME Cell, which helps businesses access government schemes and tailored financial solutions.

Our digital supply chain financing platform, SMARTFIN, provides real-time data and insights, empowering MSMEs to make informed financial decisions. Additionally, through our YES KIRAN programme, we are assisting MSMEs in adopting renewable energy solutions, reducing long-term costs, and promoting sustainability. As we continue to invest in cutting-edge technologies like AI and automation, our goal is to empower MSMEs to reach new heights and contribute to India’s economic resurgence.”

With a focus on innovation, digital transformation, and sustainability, YES BANK positions itself as a key partner in the future of South India’s MSME sector. As the MSME ecosystem in this region evolves, YES BANK remains committed to expanding its role, introducing new digital solutions and green financing products to empower businesses to grow responsibly and sustainably. With a deep understanding of the unique economic landscape, YES BANK is poised to elevate South India’s MSMEs to new heights on the global stage.