Smart OD and GST Sahay- to enable cash flow based digital lending for MSMEs Qorus-Infosys Finacle Banking Innovation Awards 2025

• Bank of Baroda has leveraged OCEN framework to carve out 2 products – Smart OD and GST Sahay to enable unique credit offering to MSME customers • The purpose of these products is to provide short term finance to GST registered enterprises

GST Sahay and Smart OD aims to support MSMEs by providing them with accessible and affordable working capital, which can help them to: 1. Reduce delayed payments: By providing quick financing, MSMEs can avoid delays in payments to suppliers. 2. Improve cash flow: This financing allows MSMEs to manage their cash flow more effectively. 3. Facilitate growth: By providing access to funds, GST Sahay and Smart OD can support the growth and development of MSMEs.

Key Features and Benefits of these products: 1. Digital and Paperless: The entire application process is digital and paperless where GST Sahay is from loan application to repayment whereas Smart OD gives instant Digital Sanction

2. Collateral-Free: Loans are available without the need for collateral

3. Quick Approval and Disbursement: GST Sahay aims for fast approval and disbursement of funds, often within 24 hours.

4. Working Capital Solution: It addresses the working capital needs of MSMEs by providing access to funds based on their sales invoices

5. Financial Inclusion: By providing access to credit, GST Sahay and Smart OD supports financial inclusion of MSMEs, particularly those who may not have access to traditional credit channels

6. Encourages GST Compliance: Using GST data for credit assessment can encourage more businesses to come under the GST framework