New Delhi, Aug. 3 -- The Small Industries Development Bank of India (SIDBI) has significantly expanded its direct lending to Micro, Small and Medium Enterprises (MSMEs) over the past five years, with both loan sanctions and the outstanding loan book witnessing sharp growth, according to information shared by the Finance Ministry in the Lok Sabha.

The government said SIDBI's direct credit sanctions increased from Rs 6,124 crore in FY 2021-22 to Rs 24,323 crore in FY 2025-26, reflecting a sharp rise in financial support extended to MSMEs. During the same period, the bank's outstanding direct credit portfolio grew from Rs 13,930 crore to Rs 39,895 crore.

The Finance Ministry said the increase in lending is part of SIDBI's broader efforts t...