Credit quality of Indian companies seems to be turning around. For the first time in five years, the value of the debt upgraded was higher than the value of the debt downgraded, CRISIL said. The value of rated debt upgrade was Rs 72,000 crore in April-September 2016, against downgrades of Rs 40,0…
Tag: CRISIL
SBI diktat to affect credit to small, medium-sized firms
The directive of the State Bank of India (SBI) to all associate banks that any credit proposal for above Rs.10 crore has to receive an approval of the Mumbai office of the SBI is likely to impact flow of funds to Micro, Small and Medium Enterprises (MSMEs). This has been sent as an advisory to [&…
‘MSMEs feel cash pain, need Rs 5.15 lakh crore in near term’
Highlighting the financial crunch faced by MSMEs, a report has pegged the total credit demand for the sector at Rs 45 lakh crore over the medium term while Rs 5.15 lakh crore needs to be mobilised for the near term. “Crisil estimates show Rs 11.37 lakh crore is only a quarter of the total f…
MSMEs can gain from ploughing back profits
Micro, Small, and Medium Enterprises (MSMEs) which plough back profits into the business tend to grow faster, compared with peers that don’t. CRISIL’s analysis of 3,000 rated MSMEs registered as proprietorships and partnership firms shows that 41 per cent had retained profits in 2014-…
RBI formulating framework to ease flow of credit to MSMEs
CII-CRISIL Report recommends action points to increase MSME ratings The Reserve Bank of India (RBI) is initiating a process for putting in place a framework for accreditation of credit counsellors who are expected to serve as facilitators and enablers for micro and small entrepreneurs. RBI Deput…
Enterprise-level IT spawns many efficiencies
A study of 4,500 CRISIL-rated Micro and Small Enterprises (MSEs) shows that just four per cent of them have deployed business process management systems such as Enterprise Resource Planning (ERP) to generate better profitability and inventory management. Most of them limit their operations to bas…
Lack of finance & delayed payments hampering MSEs, says CRISIL study
Micro and small enterprises (MSEs) are typically promoter-driven, be it operations or financing. A CRISIL study of 6,000 MSEs shows that promoters contribute 50-60 per cent of the net working capital requirement – or twice what they are supposed to contribute – because of restricted a…
Good monsoon may push FY17 GDP growth beyond 8% | Crisil
A good monsoon with even rainfall distribution across regions will give a boost to farm sector and may push India’s GDP growth beyond the 8 percent mark in the current fiscal, Crisil said. However, stress in rainfall in certain parts of the country and excess downpour in some other regions …
Among MSMEs, services sector outpaces manufacturing
CRISIL’s analysis of the performance of 4,000 Micro, Small, and Medium Enterprises (MSMEs) between FY 2013 and FY 2015 shows the growth of the services sector handily outpacing the manufacturing sector. While the services sector grew at a Compound Annual Growth Rate (CAGR) of 20 per cent, d…
Product and process quality key to increase in reach and exports
Micro, Small and Medium Enterprises (MSMEs) operating in the manufacturing and services sectors stand to gain significantly from quality products and processes. And as they focus more on quality, they see an increase in reach and customer confidence. Product and process quality key to increase in…