Role of SIDBI in improving MSMES in special reference with its financial support

Micro, Small and medium enterprises (MSMEs) play a major role in generating employment and contributing to regional economic growth. In India, one of the main bodies helping in supporting the development and financing of the MSME sector is the Small Industries Development Bank of India (SIDBI). SIDBI call for the financing of regional development initiatives and assistance to so-called ‘backward’ areas in efforts to correct existing regional economic imbalances and promote more equitable levels of development on an intra-national basis. Small Industries Development Bank of India (SIDBI) is the principal financial institution for the promotion, financing and development of industry in the small scale sector. SIDBI has been implementing various measures/activities to ensure that the Indian MSME sector becomes globally competitive. This paper deals with the study of financing provided by the SIDBI to MSMEs (Micro, Small and Medium Enterprises) including an evaluation of the bank's responsiveness to MSMEs in regional areas and also how SIDBI is helping Micro, Small and Medium enterprises for growth, sustainability and development.