PSB Alliance, the entity set up by 12 public sector banks (PSBs), is in the process of deploying a unified cloud-based Supply Chain Financing (SCF) ecosystem in the country. This cloud-based platform will go live during the current financial year.
PSB Alliance has appointed Veefin Solutions, a global pioneer in SCF solutions, to administer a unified cloud-based SCF ecosystem. Veefin’s unified digital platform will standardize all interactions and enrich the credit requests with new-age data and analytics while connecting the lenders’ core banking systems with corporate and SME sourcing partners like Fintechs, B2B marketplaces, SME account service providers, e-invoicing players. The unified platform will enable PSBs and other lenders to get better access to SMEs, lower the cost of sourcing loans, and eliminate the need for capital investment and resources in establishing their own tech stacks and connecting with hundreds of parties.
Rajinder Mirakhur, CEO and Managing Director, PSB Alliance said, “With the unmet credit needs of MSMEs estimated to be Rs 20-25 Tn, the time has come to unify and collaborate for the national cause of supporting one of the most crucial pillars of the Indian economy. This project brings all the PSBs together as a cohesive force, powered by their combined balance sheet strength and resources, to reduce the cost of sourcing customers and expand their opportunity to provide access to credit. Veefin Solutions’ domain expertise in SCF aligns with PSB Alliance’s aim of providing the greatest technology platform for our partner institutions that is simple, unified, and expedites faster go-to-market.”
Raja Debnath, MD, Veefin Solutions, said, “This opportunity to deploy a unified platform that will bring all PSB banks, private and small finance banks, and NBFCs together to provide liquidity to the ecosystem of B2B marketplaces and fintech players who are all attempting to provide financing to SMEs is unprecedented in its scale and aspirations. We commend the forward thinking that PSB Alliance has demonstrated in embarking on this nation building project. Veefin has been chosen to not only supply the technical solution, but also to manage this entire ecosystem. This partnership is an endorsement of the role that Veefin has been playing in developing the SCF ecosystem and platform in the country.”