SIDBI (Small Industries Development Bank of India) is an auxiliary institute of Industrial Development Bank of India (IDBI).
The parliament passed in Oct., 1989 the SIDBI Act and it came into operation on April 2,1990.
Its main emphasis is on:
1. modernization and technological uplift of the operational units.
2. Expansion of domestic and foreign markets for them
3. Increase in employment opportunities in the semi-urban areas so as to check the migration of the people towards cities and metropolitan cities.
Financial assistance from SIDBI is reached to the small industries through state finance corporations, State industrial development corporations, commercial banks, cooperative and regional gramin banks. The facilities provided to the engineering graduates, former defence services employees, science graduates for establishing small units have been specified for the persons from the scheduled castes and the scheduled tribes.
Government gives priority to the small industries in purchasing the products so that their problem of marketing may be solved.
