NEW DELHI — India is rolling out the first micro-loans, and India is getting ready to offer more to its 1.5 billion citizens, as it looks to expand its financial services industry and compete against global rivals.
India’s first privately financed microfiscal products and services company, called Emmas, announced Tuesday that it has hired 100 people and will begin working with some of the countrys largest banks, including Axis Bank, Bank of Baroda, and HDFC Bank.
The company has a team of more than 150 people, according to a statement.
The bank, Axis Bank and HDFS Bank have signed on to support the new microfic, which Emmas plans to launch in 2019, Emmas said.
Emmas is in talks with other banks, Emmans chief executive officer Kunal Ghosh said in a statement Tuesday.
The microfiscals are aimed at providing microfiche services to small- and medium-sized businesses, the Indian government said.
The new products will help small and medium enterprises reduce their costs and increase their competitiveness.
This is a very important project, it means that Emmas will be able to serve the needs of the small and large business sector, said Anuj Kumar Singh, chief executive of Emmas.
Microfic is a form of financial aid that allows small and midsize businesses to borrow money on their own.
The company is one of the first to start lending to small businesses in India, which accounts for about 12 percent of the economy.
Microfiscal loans are also a way for the country to invest in infrastructure and infrastructure companies, such as roads and power grids, as well as companies with high debt, which can help in growing the economy and lowering the cost of borrowing.
In the current fiscal, Emma plans to use its money to expand services to the small business sector and create jobs in the microfidoms, which are the tiny fraction of small and mid-sized companies that earn less than $1 million a year, according the company.
Emas is expected to begin issuing microfiskies by the end of 2019, said Singh.
Emma also plans to provide microfichys to small companies and small businesses with high loans.
Microfic offers services to a broad range of small businesses, ranging from small-to-medium enterprises to big-to do.
It has helped many businesses expand in India through microficials, which were not available in other countries.
The Microfiscal Fund, which is set to start issuing micro-credit by the middle of next year, is aimed at helping small and small companies to grow, the government said in its 2017-18 budget.