Quick Overview

The mainstream theory and practice of banking in India focus on the business activities of a commercial bank. Credit delivery is the core business of commercial banks. The modern concept of ‘business finance’, however, is strongly anchored on the principle of ‘social responsibility’. ‘Responsible banking’ means getting involved in sustainable and durable projects that are of value to society by offering customers simple and straightforward services and products. This is a new terrain of financial-real sector interface that matters significantly, under a situation where the economy is in turmoil. Key Words: MSME, finance, India, responsible banking.