Page 16 - IMDR MSME BOOK 2021

Managing Finance in Micro, Small & Medium Enterprises
During this period, the Micro, Small and Medium
Enterprises Development Organization [earlier known as
Small Industries Development Organization (SIDO)], the
National Small Industries Corporation, the Khadi and
Village Industries Commission (KVIC) and the Coir
Board had also been established, to provide supportive
measures that are required to nurture Micro and Small
Enterprises. During this period, adequate measures had
been taken to secure the development of Micro and Small
Enterprises as reservation of things for their restrictive
assembling, accessibility to bank credit through the
priority sector lending program of the banks, extract
exception, reservation under the Government Purchase
Program and 15% value inclination in buys, framework
advancement and foundation of organizations for
pioneering and ability improvement. A few MSME –
Development Institutes [earlier known as Small
Industries Service Institute (SISI)] the nation over had
been set up to train the youth to manage business
enterprise. At the State level, District Industries Centres
had been set up everywhere throughout the nation from
the year 1978. The Small Industries Development Bank
of India (SIDBI) set up in 1990, had been the main money
related foundation for: advancement, nancing and
improvement of the MSMEs besides commercial banks,
State Financial Corporations and State Industrial
Development Corporations. Further, Tool Rooms had
been built up with German and Danish help for giving
specialized training to people from MSME in order to
make them more skilled. 1991-1999: The new Policy for
Small, Tiny and Village Enterprises of August 1991, has
laid the framework for government support in the
context of liberalization, which sought to replace
protection with competitiveness to infuse more strength
and growth prospects in MSMEs in the light of foreign
competition and open market. Supportive measures