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Lack of institutional funds for Micro and Small Enterprises

Dated:- 24-7-2015 - Inadequate and lack of timely credit, high cost of credit, collateral requirements, etc. pose hurdles before the Micro, Small and Medium Enterprises. Furthermore, the MSMEs are being perceived as high risk category by Banks. Howev .....

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credit to Micro, Small and Medium Enterprises (MSMEs), the Reserve Bank of India (RBI) has issued guidelines in May, 2010, which mandatorily require banks to dispense with collateral requirement for loans upto ₹ 10.00 lakh to MSEs. Furthermore, .....

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ll Micro-finance Institutions (MFIs), which are in the business of lending to micro / small business entities engaged in manufacturing, trading and services activities. MUDRA has been set up as a NBFC (wholly owned subsidiary of SIDBI), to start with .....

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