Small Industries Development Bank of India (SIDBI) and the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) have signed two memorandums of understanding (MoUs) to make direct financing options available for micro, small, and medium enterprises (MSMEs).

Of these MoUs, the first one is a structured arrangement for solarisation of residential units at Ayodhya, while the second one is for bio-energy and renewable project financing. The MoUs have been signed to disseminate information about solar and green projects to MSMEs.

SIDBI has undertaken various programs to support the Government of India's commitments to prevent climate change, such as installing solar rooftops in 2,500 MSMEs for captive consumption, enabling EV market-aligned with the GoI EV30@30 Mission, support technology interventions for transitioning waste-to-wealth and nurturing nature through technology basket, and promoting innovative technologies.

SIDBI emphasised the need of MSMEs becoming energy efficient and adopting green solutions. To complement this, SIDBI has initiated several steps to digitise and simplify its direct lending operations as one of its key priorities to improve customer experience and turnaround time.