'Provide credit for micro, small industries in rural areas'

Gorakhpur, Feb 8 (UNI) Acknowledging the potential of micro and small scale industries in mitigating unemployment, the centre today appealed the bankers to provide maximum credit to those interested in setting up such industries in the rural areas.

''Bank branches in small towns and villages should encourage youth to set up their own business...they should provide loans to unemployed in the villages with collateral,'' Union Minister for Small and Medium Industries Mahavir Prasad said while inaugurating the bankers meet on 'Credit to Micro and Small Industries' here.

The meet was organised by the Small Industries Development Bank of India (SIDBI) and Government of India.

As the sector carries a great potential in tackling unemployment, the bankers should provide maximum credit to those interested in setting up such industries in rural areas, Mr Prasad maintained.

The Credit Guarantee Trust, set up at the initiative of the Union Government can be of great help to poors willing to start their own business, Mr Prasad further added.

China has progressed due to the large spread of micro and small industries, the Union Minister gave an example.

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