The contribution of small scale industries is remarkable. Thus, government has provided the following institutional support to solve the problem of finance and marketing in the small scale sector: 

1. National Bank for Agriculture and Rural development (NABARD): NABARD was setup in 1982, to promote integrated rural development. Apart from agriculture, it supports small industries, cottage and village industries, and rural artisans. It provides credit and offers counselling and consultancy services and organizes training and development programmes for rural entrepreneurs. 

2. The Rural Small Business Development Centre (RSDC): It was set up by the world association for small and medium enterprises and sponsored by NABARD. It works for the benefit of socially and economically disadvantaged individuals and groups. It aims at providing management and technical support to current and prospective micro and small entrepreneurs in rural areas.

3. National Small Industries Corporation (NSIC): This was setup in 1955 with a view to promote aid and foster the growth of small business units in the country. Functions of NSIC include:

• Supply of machines on easy hire-purchase terms. 
• Procure, supply and distribute raw materials. 
• Export the products of small business units and develop export-worthiness. 
• Mentoring and advisory services. 
• Serve as technology business incubators. 
• Creating awareness on technological up gradation. 
• Developing software technology parks and technology transfer centres. 

4. Small Industries Development Bank of India (SIDBI): SIDBI was set up as an apex bank to provide direct / indirect financial assistance under different schemes, to meet credit needs of small business organizations and to coordinate the functions of other institutions in similar activities.