SME Financing Approaches and Strategies
Dr. S. Glory Swarupa, Dr. E. Vijaya, Dr. K. Visweswara Reddy
ISBN: 978-81-957897-1-9
About Book
Micro, Small and Medium Enterprises (MSMEs) are the backbone of developing economies as they are playing a vital role in driving economic activity and employment generation. They have an edge in terms of investments, gestation period, cost of operations and operational flexibility that results in opportunities for creation of enterprises. Micro and Small Enterprises need to be given fillip by the Government in developing countries because of their contribution to production and exports on one side; low equity base and high employment potential on the other side. Despite being the backbone of the country’s economy, MSMEs are facing the challenges that come from traditional practices adopted in borrowing the funds, intense competition, ever-demanding customer preferences and lack of digital presence which are added problems for their growth. The provision of timely and adequate financial assistance will support the MSMEs for their start-up, sustenance and growth. Financing of small and medium enterprises calls for skills of sound appraisal, monitoring and recovery systems including implementation. The financial institutions and lending organizations have to adopt the suitable financial instruments & services and have to develop evolving innovative approaches to meet the emerging market demands. To enhance the knowledge about the latest developments in SME financing, ni-msme has organised a six week International Executive Program on “SME Financing – Approaches & Strategies”, sponsored under Indian Technical and Economic Cooperation, Ministry of External Affairs, Government of India from 18th July to 26th August, 2022 at ni-msme campus. A total of 29 International Executives from 17 countries representing Bangladesh, Belarus, Cote D’Ivoire, Democratic Republic of Congo, Equitorial Guinea, Ethopia, Ghana, Guatemala, Mauritius, Mozambique, Namiba, Nepal, Niger, Sudan, Tajikistan, Tanzania and Zambia attended the program to comprehend the deeper insights on issues related to financing of SMEs besides sharing experiences that are beneficial to the participants. Keeping the importance of SME Financing in developing economies, the international executives have contributed papers on various aspects related to Status of SMEs, Problems and Prospects in Access to Finance, Innovative Approaches in SME Financing and Government Initiatives to Strengthen the Development of SMEs. The submitted papers have been edited and published in form of book titled SME Financing Approaches and Strategies: Global Perspective, would surely invoke further deliberations on the theme which is immensely significant for the participating countries.