NSIC Signs MoUs with Private Banks for MSME Credit Facilitation

Current Context: On August 11, 2025, the National Small Industries Corporation (NSIC) signed Memoranda of Understanding (MoUs) with private sector banks including Axis Bank, AU Small Finance Bank, and IndusInd Bank in New Delhi.

• These MoUs are part of the MSME Credit Facilitation Program, aimed at enhancing credit access for Micro, Small and Medium Enterprises (MSMEs).
• The initiative focuses on improving availability, affordability, and accessibility of formal finance.
• NSIC will provide free handholding support to MSMEs for documentation, loan application, and bank coordination.
• Partner banks will offer tailored credit products to meet diverse MSME needs.

Question:

Q.1 On August 11, 2025, the National Small Industries Corporation (NSIC) signed MoUs with which of the following banks under the MSME Credit Facilitation Program?
a) Axis Bank, AU Small Finance Bank, IndusInd Bank
b) HDFC Bank, Kotak Mahindra Bank, Axis Bank
c) State Bank of India, Canara Bank, Axis Bank
d) Axis Bank, ICICI Bank, AU Small Finance Bank

Answer: a) NSIC’s August 11, 2025 MoUs were with Axis Bank, AU Small Finance Bank, and IndusInd Bank to improve credit access for MSMEs under the MSME Credit Facilitation Program.