Govt may allow MFIs to fund micro entrepreneurs: Nitin Gadkari

New Delhi, July 20 (KNN) Union Minister of Medium Small and Micro Enterprises (MSME), Nitin Gadkari on Monday said that the Centre will take steps to formulate a policy to allow independent micro-financing organisations to work exclusively in rural areas for micro entrepreneurs.

While inaugurating 'Amazon Global Selling Exports Digest', the Minister informed that he has asked Nobel Peace Laureate professor Muhammad Yunus to formulate his suggestions into a draft proposal with the NITI Aayog that will be put before the government for approval.

Earlier the professor had pointed out the need to rework government policy to give a banking license to financing corporations that will enable them to take deposits from micro entrepreneurs and give them credits.

''These organisations will be working entirely in the rural sector as social business as a zero-dividend company, with no intention of profitability,'' he added.

Gadkari also said the government is working on an Agro Policy to focus on entrepreneurship development in rural, tribal, agricultural and forest areas for manufacturing products using local raw material.