Bankers, SMEs discuss finance accessibility
READY AVAILABILITY of finance was discussed at an interaction between bankers and Small and Medium Enterprises (SMEs) organised by Confederation of Indian Industries (CII) at Hotel Sayaji today.india Updated: Feb 10, 2006 15:42 IST
READY AVAILABILITY of finance was discussed at an interaction between bankers and Small and Medium Enterprises (SMEs) organised by Confederation of Indian Industries (CII) at Hotel Sayaji today. Reserve Bank of India (RBI) general manager V Satyprakash said that in order to facilitate financing in SME sector providing marketing and infrastructure in addition to credit to them was essential.
Agencies like the CII could play a pivotal role in facilitating an interface between the two. CII economic affair panel convener and Rajratan Global Wire managing director Sunil Chordia delivering the inaugural speech said that finance was the lifeblood needed for growth and expansion of any industry. Unavoidability of adequate and timely finance was the major constraint pulling back a splendid performance, which could come from the SMEs.
CII-SME sub committee chairman and Nivocontrols private limited chairman Praveen Toshniwal said that most of the SMEs were not aware of the finance packages available due to their ignorance of the terms to get loans on viable interest rates from banks and other financial institutions. He suggested that the banks could devise a credit delivery system that could service a large number of small accounts profitably and effectively.
State Bank of Indore general manger Annie Pawar said that all entities whether big or small were interdependent on each other for their existence and this was especially true in the economic sector. The total outlay of funds for SMEs by banks in India was about 45 percent, which could be increased to a higher level. SIDBI manager A K Pandey highlighted the various policies announced by his bank like credit guarantee scheme and SME fund.
Exim Bank of India deputy general manager Mukul Sarkar, Punjab National Bank (PNB) senior regional manager N M Kadu and Global Trade Finance Private Limited head (business development) Jai Ahluwalia also addressed the gathering.