Camozzi
Camozzi

Your future advertising space? Our media data

Absolent
Absolent

Your future advertising space? Our media data

OEM Update
.

MSMEs heavily reliant on Debt Financing: CII Survey [Mar 2012]

March 22, 2012 5:05 am

According to a survey undertaken by the Confederation of Indian Industry, nearly 63 per cent of Indian MSMEs use debt financing for their long term financial needs. In the short term, however, the reliance on debt is even more profound with close to 78 per cent of MSMEs relying on debt as compared to 22 per cent on equity.
“Lack of options to explore equity financing, absence of exit route and a lower cost of debt are the key reasons why the Indian MSMEs have been looking at debt as the main source of funding their business operations,” stated Chandrajit Banerjee, Director General, CII. However, proposed launch of the SME Exchange is expected to give a fillip to the options for exploring equity finance, such as IPOs, Venture Capital, Private Equity etc, he added.
The CII survey also shows that nearly 85 per cent MSME entrepreneurs are using bank overdraft facility or cash credit facility, while the rest are using ECB (External Commercial Borrowings), Commercial Paper or bonds. On the other hand, the very few that are using equity are mostly reliant on common stock.

Advertising

OEM Android App

Your future advertising space? Our media data

Cookie Consent

We use cookies to personalize your experience. By continuing to visit this website you agree to our Terms & Conditions, Privacy Policy and Cookie Policy.

Tags:
Webinar
Webinar

Your future advertising space? Our media data

OEM Update QR Code
OEM Update QR Code

Events

ChemPro Tech India
ChemPro Tech India
Intralogistics and Warehousing Expo
Intralogistics and Warehousing Expo
Metal Forming Expo
Metal Forming Expo
amtex
amtex
Fastener Fair India
Fastener Fair India
Himtex 2024
Himtex 2024
World of Photonics India
World of Photonics India
IFFE Expo
IFFE Expo
India Essen Welding and Cutting Expo
India Essen Welding and Cutting Expo

eMagazine April 2024

eMagazine April 2024
eMagazine April 2024

Your future advertising space? Our media data

Our Sponsors

Carl Zeiss India
Carl Zeiss India
STMCNC
STMPC
Lakshmi Machine Works Limited
Lakshmi Machine Works Limited
BR Automation
BR Automation
Pragati Gears
Pragati Gears
Pilz India
Pilz India
Fuji Electric India
Fuji Electric India
Testo-India
Testo-India
AMF
AMF
Bibus India
Bibus India
Mallcom
Mallcom
HPL Electric Power
HPL Electric Power
PMT Machines Ltd
PMT Machines Ltd
Igus India Pvt Ltd
Igus India Pvt Ltd
Sdtronics
Sdtronics
Vega India Level Ltd
Vega India Level Ltd
Wago Pvt Ltd
Wago Pvt Ltd
Mecc alte
Mecc alte
Hosabettu Heavy Machinery LLP
Hosabettu Heavy Machinery LLP
Chicago Pneumatic Tools
Chicago Pneumatic Tools
Concord Hydraulics
Concord Hydraulics
Fenwick and Ravi
Fenwick and Ravi
MMC Hardmetal Pvt Ltd
MMC Hardmetal Pvt Ltd
Radicon Powerbuild
Radicon Powerbuild
Mennekes
Mennekes
Red Lion
Red Lion
EAPL
Red Lion
Endress Houser
Endress Houser
Premium
Premium
KEJE Electric
KEJE Electric
Sterling Engineering
Sterling Engineering
Fietest
httpswww.fietest.com
J K Machines
J K Machines
Filtermist
Filtermist
Exor
Exor
IMTMA
IMTMA
Prostarm
Prostarm
Wika Instruments India
Wika Instruments India