NEW DELHI, Aug 29: The government has announced improved institutional support to the tiny sector from organisations as the Small Industries Development Bank of India (SIDBI) and National Small Industries Corporation (NSIC).SIDBI which provides assistance to SSI units and tiny units by way of refinance and direct finance has been allowed to direct 60 per cent of its refinance flow to the tiny sector.In addition to this it has been decided that the (NSIC) which at present is discharging many developmental functions for the SSI sector through various schemes to ensure that tiny units get 40%of its assistance. NSIC provides assistance to tiny units under various schemes for supply of machinery on hire purchase, marketing support, technology assistance and training facilities.
Under the scheme being implemented by the Development Commissioner (SSI) of the department of small scale and agro and rural industries the central government has decided to allocate 40 per cent of plots to tiny units. Under the scheme per infrastructure centre is given Rs 2 crore as grant and Rs 3 crore is provided as loan by SIDBI.
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