Small and Medium Industries Loan Facilities Provided by Banks and Its Effect on Entrepreneurs Development in Sri Lanka

Abstract

Sri Lanka is a third world developing country, which has mixed economy. In the Economic Development process Sri Lanka has to face two challenges namely employment problem and poverty due to lack of income and saving. To overcome these problems most of the people are engaged in self-employment. The government and international aiding institutions implemented a number of credit facilities for the befit of the entrepreneurs. Therefore, loan facilities have lounged in Sri Lanka to develop entrepreneurs’ activities. Such as Small and Medium Industrial credit scheme has become chief among the scheme. This research is made to analyse the small and medium loan facilities provided by the Sri Lankan Banks and its effect on entrepreneur’s development in Sri Lanka. Most of the banks in Sri Lanka always concerning the development of the entrepreneurs by providing the bank loans. From this study researcher found the development of entrepreneurs of the small and medium Industries depend on the Bank loan facilities. Therefore, the lending facilities of the banks will lead to improve the country development through entrepreneurs’ activities.