GeM inks MoU with SIDBI to promote MSMEs

GeM, the government portal for public procurement, has signed an MoU with Small Industries Development Bank of India (SIDBI) with a view to promote MSMEs, women entrepreneurs, and Self Help Groups, the commerce ministry said on Friday. GeM (Government e-marketplace) and SIDBI will take steps to ensure timely payments to sellers, and enhance working capital availability through bill discounting, the ministry said in a statement.

Speaking on the occasion, GeM CEO Talleen Kumar said that the partnership with financial institutions like SIDBI is important to promote MSMEs, start-ups, and artisans, who can now sell to government on an open, transparent and technology-driven platform. "The GeM wants to empower these sellers through the payments within a guaranteed time frame," he added.

SIDBI Chairman and MD Mohammad Mustafa said that the Memorandum of Understanding (MoU) would strengthen capacity building through GeM-specific training programmes of personnel from partner agencies.