EXIM BANK OF INDIAâ€™S FINANCING TO INDIAN MSMEsâ€™ GROWTH AND DEVELOPMENT- A STUDY
Micro, Small and Medium Enterprises (MSMEs) which play a significant role in economic development of a country, draw the attention of the international community. This is primarily because of the critical importance of job creation in the recovery cycle following the financial crisis of 2008-09, and the MSME’s potentials in that respect. Yet, lack of access to finance is a major obstacle to their growth. Although the situation can vary from country to country and individual businesses, the financing gap for MSMEs in the developing country like India has a few well accepted causes. These include Information asymmetries, higher risks, Sizeable cost of transactions and a lack of adequate collateral. These factors can be exacerbated by institutional factors within a country. Among 133 institutes, EXIM Bank of India is one of them to provide credit and other supports to MSME sector. This article highlights the services of EXIM bank of India which are directly and indirectly helping to improve the performance of MSME sector of India globally.
KEY WORDS: MSMEs Credit, EXIM Bank, Financial services, MSMEs in India,