Banks told to provide assistance to young IT entrepreneurs

Banks told to provide assistance to young IT entrepreneurs
The Hindu

DHARWAD: M.K. Shankarlinge Gowda, Secretary, Information Technology and Biotechnology, has called upon banks to help in the growth of the software industry in north Karnataka by extending financial assistance to young entrepreneurs.

Inaugurating the 29th anniversary celebrations of Malaprabha Grameena Bank here on Friday, Mr. Gowda said that by doing so the banks would be contributing to the development of the region indirectly.

"Bangalore city alone exports IT-related products to the tune of Rs. 30,000 crores and 40 per cent of this amount (Rs. 9,000 crores) is given to employees as salaries. These figures speak volumes about the creation of job opportunities and economic development," he said.

Mr. Gowda hoped that the Malaprabha Grameena Bank will be trailblazer in financing the information technology units. He referred to the Bangladesh model of Grameen Bank and asked the MG Bank officials to replicate some of the best practices there.

He bemoaned the fact that as a fallout of globalisation of the banking sector, consumer loans had increased significantly adversely affecting asset creation.

B.S. Surendra, Chairman of the bank, said the bank has reached the second position among the regional rural banks of the country. It plans to achieve a business level of Rs. 4,000 crores by the end of 2008, he said.

Earlier, M.S. Srikar, Deputy Commissioner, planted sapling in the garden of the bank to launch the "Vruksha Laksha" scheme of the bank.