Paisalo Digital Signs Co-Lending Agreement with SBI to Expand SME Credit Access

Paisalo Digital has entered into a Co-Lending Loan Agreement for SME Products with the State Bank of India. This move builds on their ongoing co-lending platform and aims to boost financial inclusion for India’s small and medium businesses, especially in underserved regions.

Agreement Strengthens SBI–Paisalo Partnership

Paisalo Digital Limited has expanded its strategic partnership with the State Bank of India (SBI) through a new Co-Lending Loan Agreement for SME products. The fresh agreement deepens an existing co-lending alliance launched in 2021, which is aligned with the Reserve Bank of India’s November 5, 2020, guidelines. 

These guidelines promote co-lending by allowing banks and NBFCs to jointly fund loans to priority sectors like micro, small, and medium enterprises (MSMEs), leveraging their combined strengths in outreach and operations.

Digital-First Platform Targets SME Segment

The co-lending platform between SBI and Paisalo is fully digital, offering end-to-end services such as origination, disbursement, and loan recovery. By integrating digital systems with physical presence, this platform delivers transparent and efficient credit access. The new SME-focused initiative will extend services to emerging entrepreneurs and businesses in non-metro markets.

Read More: GCC Boom Poised to Reshape India’s Job Market Amid AI Growth and Talent Surge!

Driving Financial Inclusion Through Collaboration

According to Paisalo, the platform has already reached over 94 lakh customers through 3,565 nationwide touchpoints. With this new expansion into SME lending, the partnership aims to further support entrepreneurship, job creation, and economic growth by addressing credit gaps in tier 2, tier 3, and rural areas.

About Paisalo Digital 

Paisalo Digital is a systemically important, non-deposit-taking NBFC registered with the Reserve Bank of India. It operates a wide rural and semi-urban distribution network and has been at the forefront of co-lending initiatives. Paisalo specialises in income-generating loans and seamless credit services tailored to underserved populations.

Paisalo Digital Share Price Performance

On June 27, 2025, Paisalo Digital share price opened at ₹31.65 on NSE, above the previous close of ₹31.43. During the day, it surged to ₹33.65 and dipped to ₹31.40. The stock is trading at ₹31.53 as of 1:40 PM. The stock registered a marginal change of 0.32%.

Over the past week, it has moved up by 6.88%, over the past month, it has moved up by 3.11%, and over the past 3 months, it has declined by 7.18%.

Conclusion

The renewed co-lending partnership between Paisalo Digital and SBI will enhance the accessibility of affordable credit to India’s SME sector. Through a strong digital and physical network, the initiative is set to fuel inclusive economic development and support the growth of small businesses across the country.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.