Sidbi fi­nanc­ing smes

PCQuest - - SMB NEWS -

Ac­cord­ing to Quick Re­sults of 4th, All In­dia Cen­sus held be­tween 2006 and 2007, the ac­tive count of MSMEs in the coun­try, in the reg­is­tered and un­reg­is­tered cat­e­gories, is 1.55 mil­lion and 24.55 mil­lion re­spec­tively

Un­der a SIDBI Act, 1989 passed in Par­lia­ment, the Small In­dus­tries De­vel­op­ment Bank of In­dia was es­tab­lished on 2nd April 1990. The char­ter set­ting up SIDBI, fore­see SIDBI to be the ma­jor fi­nan­cial body for the mar­ket­ing, fi­nanc­ing, and de­vel­op­ment of mi­cro, small and medium-scale en­ter­prises or MSMEs in In­dia. Be­sides play­ing a de­vel­op­men­tal role to mi­cro fi­nance bod­ies, it has also floated with nu­mer­ous other units like SIDBI Ven­ture Cap­i­tal Ltd, Credit Guar­an­tee Fund Trust for Mi­cro and Small En­ter­prises and more.

On be­half of the or­derly growth of the small scale in­dus­tries, SIDBI fol­lows four ba­sic ob­jec­tives. Those are pro­mo­tion, fi­nanc­ing, de­vel­op­ment, and co­or­di­na­tion. The field of ac­tions of SIDBI in­cludes: Be­sides In­fras­truc­tures, di­rect fi­nance pro­cesses to SSI, MSMEs and Ser­vice Sec­tors. In­di­rect fi­nance via re­source holds for the banks, NBFCs, SFCs and other cen­tral fi­nanc­ing in­sti­tu­tions. En­dorse­ment of other as­so­ci­ated in­sti­tu­tions like As­set Re­con­struc­tion Com­pany, Rat­ing Agency, Ven­ture Cap­i­tal, Credit Guar­an­tee Fund and more.

No­dal Agency for In­dian Gov­ern­ment MSME schemes like Credit Linked Cap­i­tal Sub­sidy Scheme or CLCSS, Tech­nol­ogy Up gra­da­tion Fund Scheme or TUFS and oth­ers.

In the lat­est rank­ing of the bankers, Lon­don, Small In­dus­tries De­vel­op­ment Bank of In­dia main­tained its po­si­tion in the top 30 de­vel­op­ment banks of the world. RBI has al­lowed the bank to raise its fi­nances up to 2730 Cr. MSMEs, part of the busi­ness do­main of SIDBI, con­trib­ute ex­ten­sively to the na­tional econ­omy in terms of em­ploy­ment, pro­duc­tion, and ex­ports. Cre­at­ing em­ploy­ment of about 7 Cr. MSME sec­tor has been turned to be an im­por­tant pil­lar of In­dian econ­omy. This sec­tor has even as­sisted in de­vel­op­ing over 6000 prod­ucts, con­tribut­ing about 45% of ex­ports and about 49% of gross value out­put.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.