State Bank of India, India's largest lender, wants to grow loans to small and medium enterprises (SMEs) by at least 10-12% this year and improve their order book positions and cash flows while the corporate sector continues to be under stress.The SME sector, which generates the maxumum employment, suffers from absence of bank credit as 45% of the country's vast SME segment still rely on informal sources of funding. The sector has been slack due to general sluggish economic growth impacting their financials negatively .Last fiscal, SBI's SME loansgrew at a modest 4.4% to Rs 189,536 crore.“With improvement in their cash flows, we see 10-12% loan growth very much feasible this fiscal. Although, internally, we would like to aim for 14-15% growth,“ SBI managing director Rajnish Kumar said on Friday in Kolkata.“We have also moved to cash flow-based financing from balance sheet-based funding,“ he said at an event organised by the Confederation of Indian Indust ry (CII). SME contributes 12% of SBI's total loan book of `15,09,500 crore.Kumar said the bank is also focusing on supply-chain financing and receivable-based funding to boost SME loans. SBI deputy managing director Sunil Srivastava said that the bank monitors SME cash flow in a more granular way to boost healthy lending.SBI has partnered the National Stock Exchange and Small Industries Development Bank of India to set up a bill discounting platform to facilitate better credit flow to SME units.The platform, to be named as `trades exchange', is expected to go live by the end of this year.The lender has set a target of 1314% for overall loan growth, though it does not see much optimism around the corporate sector.Kumar said demand for corporate loans is much less with no major project seen coming up, although there is some traction in the infrastructure space.The lender expects housing and personal loan segments apart from SME to compensate for the slackness in loan demand from the corporate sector.