<P> Small finance banks are a type of niche banks in India . Banks with a small finance bank license can provide basic banking service of acceptance of deposits and lending . The aim behind these to provide financial inclusion to sections of the economy not being served by other banks, such as small business units, small and marginal farmers, micro and small industries and unorganised sector entities . </P> <P> The firms must have a capital of ₹ 100 crore . Existing non-banking financial companies (NBFC), micro-finance institutions (MFI) and local area banks (LAB) (Local area banks are non scheduled banks </P>

Purpose of setting up small finance bank in india
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