Financing of Micro, Small and Medium Enterprises
A Study on Scheduled Commercial Banks in India
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India is an emerging economy with a population of more than One Billion. Nearly 40per cent of the population lives below the poverty line and 70 per cent of the population is dependent on the agriculture for sustenance. The economic reconstruction of India depends on the balanced growth of economy in the fields of agriculture and industry. Because capital and finance have been scarce in India, the Government of India has encouraged alternatives to agriculture and heavy industries like small-scale industries, which can operate on limited resources. A small-scale industry can be operated by an e...
India is an emerging economy with a population of more than One Billion. Nearly 40per cent of the population lives below the poverty line and 70 per cent of the population is dependent on the agriculture for sustenance. The economic reconstruction of India depends on the balanced growth of economy in the fields of agriculture and industry. Because capital and finance have been scarce in India, the Government of India has encouraged alternatives to agriculture and heavy industries like small-scale industries, which can operate on limited resources. A small-scale industry can be operated by an entrepreneur without needing sophisticated machinery and modem technology. These small-scale industrial units can be established in semi-urban and rural areas where the infrastructure is underdeveloped. The objective is to use local raw material for raising production with the help of local skills. Small-scale industries provide employment without affecting the main occupational -agriculture-of illiterate people in rural areas in India.
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