Revised guidelines have been issued for securitisation of standard assets so as to promote this market. The guidelines focus on twin objectives of development of bond market as well as provide investors a safe financial product. The interest of the originator has been aligned with the investor and suitable safeguards have been designed. xii.
To supplement credit available through the traditional institutions, several governments see the need to establish institutions that provide direct credit to small and medium enterprises. Such institutions (development banks in most countries) face unique challenges in avoiding political interference and operating along strictly commercial lines. At times, rapidly growing small businesses require equity as well as debt financing.