On March 25, 2021, HDFC Bank, was adjudged the ‘India’s Best Bank for Small and Medium Enterprises(SMEs)’ at the Asiamoney Best Bank Awards 2021 of Asiamoney for the transformation of its Micro, Small and Medium Enterprises (MSMEs) business.
HDFC Bank’s Contribution towards MSMEs:
- HDFC’s advances to MSMEs as of December 31, 2020, is about Rs2.02 trillion ($28 billion) which is 38% higher than in 2019.
- It has a compound annual growth rate of 23% for the past six years, making it India’s second-largest bank for MSME lending.
- The bank’s MSME-related non-performing asset (NPA) ratio was 0.7% in December 2020, which is down from 1.33% in March 2020 and 1.16% in March 2019.
About Emergency Credit Liquidity Guarantee Scheme(ECLGS):
- It was unveiled as part of the Atma Nirbhar Baharat package in May 2020, to aid MSMEs and provided fully guaranteed and collateral-free loans for amounts up to 20% of outstanding loans with an outstanding credit up to Rs 50 crore as of February 29, 2020, and with an annual turnover of Rs 250 crore.
- MSME units, business enterprises, individual loans for business purposes and MUDRA are eligible for loans under the scheme
- The Government extended the Emergency Credit Liquidity Guarantee Scheme till March 31, 2021
- HDFC ranked among top banks in terms of extension of credit under the ECLGS scheme which stood at around Rs. 23,000 crores as of December 31, 2020.
List of Asiamoney Best Bank Awards 2021 for Indian Banks:
|Category of Award||Bank|
|Best domestic bank||Kotak Mahindra Bank|
|Best corporate and investment bank 2021||Kotak Mahindra Bank|
|Best international bank||DBS Bank|
|Best digital bank||Axis Bank|
|Best bank for Corporate social responsibility(CSR)||RBL Bank|
- DBS Bank: Lakshmi Vilas Bank merged with DBS bank in November 2020 through Reserve Bank of India under Section 45 of the Banking Regulation Act, 1949, India
- Axis Bank: On March 18, 2020, Axis Mutual Fund has launched Axis Technology ETF, which offers investors an opportunity to invest in a basket of the biggest IT companies in India
- RBL bank: In 2014 initiated ‘UMEED 1000’ a 1000 km Cyclothon, its 7th edition is held between 27th November 2020 – 11th December 2020 to contribute and raise funds in support of girl child education
About Asiamoney Best Bank Awards 2021:
- It is awarded by Asiamoney to identify banks that have excelled across a range of core banking activities over the past 12 months in India, Bangladesh, Myanmar, Pakistan, Sri Lanka, and Uzbekistan.
Recent Related News:
On January 19, 2021, the Reserve Bank of India (RBI) released the 2020 list of Domestic Systemically Important Banks (D-SIBs) on the basis of data collected from banks as of March 31, 2020. As per the list SBI (State Bank of India), ICICI (Industrial Credit and Investment Corporation of India), and HDFC (Housing Development Finance Corporation Limited) Bank continue to be D-SIBs or institutions which are ‘too big to fail (TBTF)’.
It is a financial publication established in 1989, has now merged with other key capital markets publications from the Euromoney Institutional Investor
About HDFC Bank:
MD & CEO – Sashidhar Jagdishan
Establishment – 1994
Headquarters– Mumbai, Maharashtra
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