That entry of new firms has possibly been limited is also indicated by the fact that among the different categories of credit growth, lending to SMEs has been the lowest, though there are some signs of higher growth in recent months. 4  BIS Review 113/2006  There are, however, other signs of financial deepening (Mohan, 2004).
According to one indicator of financial deepening, the ratio of bank assets to GDP, financial depth in India was among the lowest in the world (Barth, Caprio and Levine, 2001).