The Credit Guarantee Fund Trust for Small Industries (CGTSI), set up by the Government of India and the Small Industries Development Bank of India (SIDBI), has called for innovative financing tools to pep up inflows of finance into the small-scale industries sector (SSIs), which contribute 40 per cent to the manufacturing sector output.
Delivering the inaugural address at an awareness programme on 'Innovative Financing', Mr N. Venkata Subramanyan, chief executive officer of CGTSI, strongly favoured innovative financing "which ensures adequate, timely and hassle-free financing" to the sector.
"An element of flexibility should be brought into the system. They (SSI borrowers) need the money now. If it is not flexible, it is not innovation," Mr Subramanyan, who has been designated to head the south zone of the SIDBI said.
