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Role of Microfinance to Promote the Growth of Unorganized Manufacturing Enterprises in India: An Analysis

In: Microfinance to Combat Global Recession and Social Exclusion

Author

Listed:
  • Akash Dandapat

    (Vidyasagar University)

  • Pinaki Das

    (Vidyasagar University)

Abstract

The present study attempts to analyse the access of microfinance and its role to promote the growth of unorganized manufacturing enterprises (UMEs) in India and points out the determinants that influence financial access with the help of NSSO Unit Level data of 67th (2010–11) and 73rd (2015–16) rounds. The study reveals that less than 10% UMEs had financial access. But the performance is higher among the UMEs which received loans than those didn’t receive loans. Microfinance has played a vital role in the growth of employment, gross value added and fixed assets of UMEs. Establishment and registered enterprises, enterprises which maintain accounts and have partnership, and have larger size of the firm are more likely to access loans and they are more likely to be expanding in nature.

Suggested Citation

  • Akash Dandapat & Pinaki Das, 2022. "Role of Microfinance to Promote the Growth of Unorganized Manufacturing Enterprises in India: An Analysis," Springer Books, in: Ramesh Chandra Das (ed.), Microfinance to Combat Global Recession and Social Exclusion, chapter 0, pages 131-146, Springer.
    • Handle: RePEc:spr:sprchp:978-981-16-4329-3_9
    DOI: 10.1007/978-981-16-4329-3_9
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