Operating with too little equity in the enterprise is like treading on thin ice. Too much leverage dilutes promoter’s responsibility and has implications for banks’ ability to recover loans. Double leveraging, where promoters pledge their own shares for funding their other companies needs to be viewed with caution.
•  Board approved Financial Inclusion Plans (FIPs) of banks for 3 years, starting April 2010 are being implemented, with close monitoring by RBI. •  Roadmap to cover villages with population above 2000 by March 2012 was prepared and successfully implemented. Process of ensuring coverage of villages with population below 2000 is underway.