National Bank for Agriculture and Rural Development (NABARD) launched the SHG-Bank Linkage Program in 1992 to forge the synergies between formal financial system and informal sectors. Under this programme, banks provide loans to the SHGs against group guarantee and the quantum of loan could be several times the deposits placed by such SHGs with the banks.
In response to the crisis, many central banks had broadened their collateral frameworks to support their counterparties in accessing central bank funding given the problems with the availability of market funding.