e-commerce
MSME mission gets a BoB boost as SIDBI and Bank of Baroda join forces
MUMBAI: India’s small businesses just got a big lift and this time, the push comes from a power-packed partnership built for a Viksit Bharat 2047. In a significant move to strengthen the nation’s enterprise backbone, the Small Industries Development Bank of India (SIDBI) and Bank of Baroda (BoB) have signed an MoU to turbocharge credit flow, expand working capital access, and bolster support for MSMEs and startups across India.
The agreement, sealed in the presence of M. Nagaraju, IAS, secretary, Department of Financial Services (DFS), brings together the precision of SIDBI’s MSME-focused financing and Bank of Baroda’s expansive national and global footprint.
Senior leaders, including JS Manoj Ayyappan, SIDBI CMD Manoj Mittal, and BoB executive directors Lalit Tyagi and Lal Singh, were present as the two institutions outlined a collaborative roadmap to fuel India’s next wave of business growth.
The MoU deepens cooperation across a wide spectrum of enterprise needs:
● Joint Financing: Leveraging SIDBI’s expertise and BoB’s nationwide branch network to amplify credit delivery for MSMEs.
● Working Capital Enablement: Operationalising BoB’s digital Working Capital Platform for SIDBI-sanctioned borrowers, promising seamless and tech-enabled access to capital.
● Startup Financing: Combining SIDBI’s Venture Debt Programme with BoB’s specialised startup banking solutions ranging from advisory to tailored financial products.
● Export Promotion: Using Bank of Baroda’s international presence to help MSMEs and startups tap global markets with improved export banking support.
● Cluster & Innovation Support: Joint initiatives for MSME clusters, incubators and accelerators to nurture entrepreneurship across India.
Calling the collaboration a milestone, secretary M. Nagaraju noted, “This partnership brings together the strengths of a dedicated MSME development institution and a large commercial bank to build a stronger credit ecosystem. By combining SIDBI’s innovative financing models with Bank of Baroda’s reach, this MoU will help enterprises access timely working capital, scale operations, and integrate into global value chains.”
JS Manoj Ayyappan added that the partnership “significantly enhances access to timely and affordable credit,” describing it as a crucial step in reinforcing India’s entrepreneurial ecosystem.
For SIDBI CMD Manoj Mittal, the MoU marks a natural extension of the bank’s 35-year legacy.
“This MoU deepens our ability to jointly support MSMEs and high-potential startups through venture debt, digital credit, and coordinated working capital solutions,” he said. “We see this as a powerful opportunity to accelerate India’s enterprise growth narrative.”
Echoing this, BoB executive director Lalit Tyagi highlighted the bank’s growing commitment to emerging businesses, “Through this partnership, we will strengthen joint financing, enhance digital credit enablement, and expand specialised banking solutions. Our global presence will further help MSMEs and startups tap export opportunities.”
BoB’s executive director Lal Singh extended thanks to both teams, noting that the partnership sets the stage for “meaningful value creation for customers.”
As part of the event, the DFS Secretary handed over sanction letters to MSME customers, marking the beginning of a partnership expected to reach thousands of enterprises.
With SIDBI’s developmental sharpness and BoB’s vast reach, the collaboration signals a decisive push to ensure that India’s MSMEs and startups don’t just survive, they scale, innovate, and step confidently into global markets.
For a sector often described as the heart of India’s economy, the SIDBI–BoB handshake promises exactly what MSMEs have long needed: more credit, more confidence, and more room to grow.
e-commerce
Flipkart rolls out 105 per cent bonus for 20,000 employees
Strong FY25 performance drives payouts even as layoffs and shifts unfold.
MUMBAI: In a year where belts were tightened and rewards loosened, Flipkart seems to be playing both offence and defence trimming roles on one hand while handing out a generous 105 per cent bonus on the other. The Walmart owned e commerce major has rolled out a 105 per cent bonus payout for 2025, covering nearly 20,000 employees, signalling a year of steady operational momentum even as the company navigates restructuring pressures. The payout, communicated internally by chief human resources officer Seema Nair, is tied to performance across key metrics including growth, operational efficiency, financial outcomes and people indicators, a combination that suggests the company is inching closer to its long stated goal of sustainable profitability.
Employees at SD level and below are set to receive their bonuses in March, while payouts for senior leadership, including vice presidents and senior vice presidents, will follow after the close of the performance cycle. The elevated 105 per cent multiplier stands out in a sector where cautious payouts have increasingly become the norm, pointing to what appears to be a relatively strong internal scorecard for FY25.
Yet, the announcement arrives with a noticeable contrast. Earlier this year, Flipkart reduced its workforce by around 300 roles as part of its annual performance review process. While officially framed as performance driven, the juxtaposition of layoffs alongside above target bonuses reflects a more nuanced balancing act, one that prioritises cost discipline while continuing to reward and retain high performing talent.
This dual approach is becoming increasingly common across the technology and e commerce landscape, where companies are navigating an uneven hiring environment while under pressure to deliver profitability. Rewarding top contributors, even amid selective workforce reductions, allows firms to maintain morale and retain critical talent without losing sight of financial prudence.
At the same time, Flipkart is also undergoing leadership shifts that hint at a broader strategic recalibration. Nishant Verman has been appointed senior vice president for corporate development and partnerships, while group chief financial officer Sriram Venkataraman is set to step down. Ravi Iyer will take on expanded responsibilities within the finance function, marking a reshuffle at the top as the company gears up for its next phase.
These changes come amid reports that Flipkart is planning to shift its holding structure back to India, a move widely interpreted as groundwork for a potential public listing. While timelines remain fluid, the combination of stronger financial discipline, leadership restructuring and employee incentivisation suggests a company preparing itself for greater scrutiny and scale.
For employees, the 105 per cent payout offers a welcome boost in what has otherwise been a period of adjustment. For Flipkart, it is a signal that even as it cuts where necessary, it is willing to spend where it counts. In the high stakes game of growth versus profitability, the company appears to be hedging its bets carefully, rewarding performance while reshaping itself for what could be its most defining chapter yet.
