Mumbai, India | July 06, 2026: PSB Alliance Pvt. Ltd and Bank of India have signed an agreement for onboarding Bank of India as a lending partner on the PSB Xchange platform, India’s unified digital working capital finance platform.

Through this collaboration, Bank of India will offer supply chain finance to eligible borrowers associated with participating anchor corporates on the PSB Xchange platform. The partnership will enable digital onboarding, credit assessment and financing through a standardised process, helping Bank of India expand its digital supply chain finance reach while enabling faster access to institutional credit for MSMEs.

Building a Scalable, Multi-Participant Financing Ecosystem

PSB Xchange connects lenders, corporates and ecosystem partners through a unified platform. The onboarding of Bank of India strengthens the platform’s lender network and broadens the availability of institutional finance for dealer ecosystems across industries.

The shared infrastructure reduces the need for multiple point-to-point integrations and supports faster programme implementation and portfolio monitoring.

Driving Digital Adoption in Supply Chain Finance

By standardizing onboarding, documentation and programme execution, PSB Xchange enables lenders and corporates to implement dealer finance programmes more efficiently and extend formal credit to a wider base of MSMEs.

Stakeholder Perspectives

Vinayak Shukla, General Manager, Bank of India, said:  “Dealers and MSMEs are an integral part of India’s business and distribution ecosystem. Our participation on PSB Xchange will enable Bank of India to provide timely and digitally enabled working capital solutions to dealers associated with established corporate anchors. This collaboration is aligned with our focus on strengthening MSME financing and expanding access to formal institutional credit.” 

Anjali Mohanty, MD & CEO, PSB Alliance said: “The evolution of supply chain finance requires collaborative digital frameworks that can support growth across industries. Through PSB Xchange, we seek to enable such frameworks by bringing lenders, corporates and ecosystem partners onto a common platform. Bank of India’s onboarding further strengthens this network and broadens opportunities for MSMEs to access institutional finance.”

Raja Debnath, Managing Director, Veefin Group, said:  “Bank of India’s participation is an important milestone in strengthening the PSB Xchange ecosystem. By bringing the Bank’s lending capabilities onto a unified digital platform, we can enable corporate dealer networks to access institutional finance with greater speed and efficiency. This collaboration demonstrates how technology and the reach of public sector banks can work together to expand working capital access for MSMEs.”

Looking Ahead

The onboarding of Bank of India further strengthens PSB Xchange’s ability to support supply chain finance programs across industries. The platform will continue to expand its network of lenders, corporates and ecosystem partners to improve access to institutional working capital finance.

The Tier II capital is raised for augmenting the overall capital of the Bank and for enhancing the long term resources in accordance with the RBI guidelines.  The funds raised by the Bank through this issue is not meant for financing any particular project.  The Bank shall utilize the proceeds of this issue for its normal business activities.

Loans worth over Rs 6.45 lakh crore were sanctioned by PSBs during March 1 – May 15 for 54.96 lakh accounts from MSME, Retail, Agriculture & Corporate sectors; A notable increase compared to the Rs 5.95 lakh crore sanctioned as of May 8, the Finance Ministry said

Public Sector Banks sanctioned over Rs 1.03 lakh crore as emergency credit lines & working capital enhancements in the period March 20 to May 15, which is a substantial increase over the Rs 65,879 crore that had been sanctioned up to May 8.

It may be noted that with the lockdown coming into effect from March 25, state-owned banks had opened an additional line of credit of 10 per cent of the existing fund based on working capital limits, subject to a maximum of Rs 200 crore.

India has been under lockdown from March 25 to check the spread of coronavirus. The lockdown has been extended till May 31 with some relaxations.

Meanwhile In a communication to the States, Union Ministry of Home Affairs has noted that fear of COVID-19 infection and apprehension of loss of livelihood are the main driving factors for the movement of stranded workers towards their homes. In order to mitigate the distress of migrant workers, the communication stresses on a number of measures that may be taken by the State governments, pro-actively in coordination with the Centre.

These include Run more Buses, ensure their Smooth Transition across States and inter-State borders; Create en-route Rest Places with basic amenities for people on foot, till they are guided to bus/rail stations; Dispel rumours, give clarity on train/bus departures.

With the country fighting Covid-19 pandemic and under lockdown, availability of essentials like food and health services to the masses is crucial. While for the consumers it is important that their supplies are maintained; for farmers too, it is imperative that the value chain starting with them is up and running to market their produce even under restrictions.

Taking the initiative further in this context, Mother Dairy, a wholly owned subsidiary of National Dairy Development Board, contributed in stabilizing the dairy supply chain in Vidarbha and Marathwada Region amid Lockdown. Located in Civil Lines area of Nagpur city, Mother Dairy is extending all possible support to farmers and procuring an average milk volume of 2.55 lakh litres per day in Vidarbha and Marathwada region