India’s largest bank, State Bank of India is aggressively trying to grab a piece of the business in the digital commerce space and has tied up with three major e-commerce players in the last two days.
On May 21, SBI signed two agreements with PayPal and Snapdeal. SBI plans to boost micro small and medium enterprises (MSME) businesses by financing new generation sellers using Snapdeal e-commerce portal and facilitating cross-border payments of small units through PayPal's payment gateway, when corporate and industrial credit is yet to show any significant growth momentum.
The deal with PayPal will allow SBI debit card holders to use a digital payment gateway for buying products from foreign websites and also enable MSME customers to access a secure payment solution. SBI's partnership was with PayPal which is present in 145 countries is first of its kind in India.
SBI also entered into an arrangement with Snapdeal for financing its sellers. E-commerce space is growing very fast and meets the aspirations of the next generation of customers and small businesses.
"Prime Minister's dream of `Make In India' and digital India will get fulfilled by such arrangements," SBI chairman Arundhati Bhattacharya said, after signing the MoU with Snapdeal.
A day earlier, SBI signed a memorandum of understanding with another e-commerce major Amazon to develop payment and commerce solutions for customers and small businesses.
