Institutional Finance for Micro and Small Entreprises in India
An Empirical Evidence
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The supply of adequate and timely finance has been identified as one of the major problem area to support and sustain the industrialization process. The sources of finance for the MSEs are classified into institutional and non-institutional. In India, out of these two sources, institutional finance is regulated and directed by the Govt. of India through the Reserve Bank of India. The need to establish developmental financial institutions to provide industrial finance was seriously felt after independence because of shyness of capital markets, under developed financial system and to achieve pla...
The supply of adequate and timely finance has been identified as one of the major problem area to support and sustain the industrialization process. The sources of finance for the MSEs are classified into institutional and non-institutional. In India, out of these two sources, institutional finance is regulated and directed by the Govt. of India through the Reserve Bank of India. The need to establish developmental financial institutions to provide industrial finance was seriously felt after independence because of shyness of capital markets, under developed financial system and to achieve planned industrial development in the country. To provide finance to MSE sector, various financial institutions have been established. These institutions are playing an important role to meet the credit requirements. The government of India has also implemented various measures and policy initiatives to boost up the institutional finance to MSEs. Hence, at this juncture, an empirical work on institutional finance for MSE sector is highly relevant academic exercise. The book is expected to be a decisive piece of document before the policy makers and general readers interested in the subject.
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