Finance is an important input for an industry. For a small scale industry the need for finance is very essential due to
its limited resources. The sources of finance for small scale industries are of two types-internal and external. The role
of commercial banks in the process of economic development is well recognized. The year 1969 was a major turning
point in Indian financial systems when 14 major banks were nationalized. Different national and state level institutions
operating in the country for meeting the credit requirements of the SSIs sector include Small Industries Development
Bank of India, Commercial Banks, Regional Rural Banks, Co-operative Banks (State, Central and Primary), State
Financial Corporations/ State Industrial Investment Corporations, State Small Industries Development Corporation,
National Bank for Agriculture and Rural Development, statutory bodies (KVIC, COIR Board, Handloom Board and
Handicraft Boards), National Small Industries Corporations Limited and the like. The State bank of India lending to the
small-scale industries in Theni district, compared to the public sector and the priority sector lending. The trend values
showed that the target has increased fas
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