It will now be easier for micro, small, and medium enterprises (MSMEs) in India to access collateral-free capital up to Rs 2.5 million, thanks to a new digital lending platform being set up by the Federation of Indian Micro and Small & Medium Enterprises (FISME) and Eqaro Surety Private Limited, a financial guarantee provider. This is a unique and first time in India initiative and aims to fulfill the need of MSMEs for urgent funds. It is similar to an overdraft facility backed by a surety guarantee, which any MSME can tap anytime from anywhere when it needs funds without putting up collaterals.
