The State Bank of India is all set to launch SBI e-Smart SME to provide easy loan to online e-commerce merchants. Starting the process, SBI has tied up with Snapdeal, India’s e-commerce giant, to facilitate instant loan to its sellers.
SBI chairman, Arundhati Bhattacharya told that the growth of online shopping portals has enabled more than 5 lakh sellers to use the digital platform for selling their products which has opened up opportunities for banking sector.
SBI E-Smart SME will change the traditional process of lending based on financial statements like income tax return and balance sheet. Now, the sellers credit worthiness will be the base for providing loans. For this it will use the data analytics used by Snapdeal. The next target of SBI to tie up for the process will be flipkart, Paytm and Amazon, she disclosed.
Kunal Bahl, the co-founder and CEO of Snapdeal, said that they can assign a credit score to our sellers through this SBI’s real time analytics tool. This will help the sellers to get loan as sometimes, due to lack of long history of financial statement, they can’t give confidence to lenders.