A recent press report said that Allahabad Bank has signed a memorandum of understanding with Brickwork Ratings (BWR) for the promotion of credit-ratings of the bank’s MSE (micro and small enterprises) borrowers and potential customers.
Reports said that the tie-up will help the new and existing borrowers to get easy, fast and hassle-free loans from the bank at a concessional rate of interest. The bank offers loans such as home loan, personal loan, vehicle loan etc.
The tie up would also help the bank to take prompt and appropriate credit decisions and manage credit risk properly as it can get an independent third party opinion on capabilities and credit worthiness of MSE borrowers.
The bank has tie-ups with three other credit-rating agencies namely SMERA, CRISIL and ONICRA. Reports also said that the bank’s loan portfolio to the MSE sector stood at Rs 13,666 crore as on June 30, 2011.
Earlier the bank had announced that it has planned to provide loans to farmers and rural artisans to buy solar off-grids made by Environ Energy Corporation India Private Limited. It has entered into an agreement with the solar energy solution company recently.