Karnataka State Financial Corporation is a state level financial institution established by the State Government in the year 1959 under the State Financial Corporations Act 1951 to meet mainly the long term financial needs of small and medium enterprises (SMEs) in the State of Karnataka. KSFC has been playing a pivotal role in the development of Micro, Small and Medium scale Enterprises (MSMEs) in the state of Karnataka for the last 57 years of its existence. Since inception, KSFC has assisted 1.71 lakh units with cumulative sanction of more than Rs.14,500 crore out of which about 50% is towards small scale industries. KSFC is the first SFC having IS/ISO-9001- 2008 certified Corporation. In the 57 years of existence, KSFC has contributed most significantly for the growth of MSMEs, backward area development and promotion of first generation, women and scheduled caste & scheduled tribe entrepreneurs. In this paper the attempt is made to highlight the performance of KSFC. Loan amount sanctioned, Loan amount disbursed and Loan amount Recovered are the important parameters. The Paper contains Introduction, Review of Literature, Objectives, Methodology, Data Interpretation, Findings and Conclusion, etc.

Economic development, Entrepreneurs, Industrialization, Organization, Performance