BACKGROUND.It was Saturday afternoon; the world seemed to be on vacation but me, as I was busy serving guests at a lunch party at my masters’ residence. Chatting and laughing was loud enough to be heard in every nook and corner of the house. But those were of least concern to me, because I had to respond to every single call for any requirement at the very word of the guests or the master in particular. It was 2009, and I was just seven, wearing a sweater and a half pant, watching a bunch of people boasting about the achievements of their wards and trying to prove ones child better than the other. When suddenly, an old man read from a magazine that the government was to pass a new act namely, Right to Education Act. But to me those routine talks about the household work made more sense than this new coming up topic, because neither I could read or understand there high-level conversation, which had diverted there talks from their children, on top of that I didn’t even understand, what the word ‘right’ meant. That elderly fellow said something like…History of the Act:The Free and Compulsory Education Bill 2003 was the first attempt of the Central government to draft a comprehensive legislation on education after the 86th Constitutional Amendment that made education a fundamental right. The Bill was an excellent example of bureaucratic empowerment, creating up to 6 levels of various authorities to ensure the provision of free and compulsory education. Furthermore, the reservation of up to 25% of the private school seats for the economically backward students to be selected by these authorities ensured that the Bill was a throwback to the old licence-permit-raj regime. Following widespread criticism, the Bill was discarded.The Right to Education Bill 2005 is the second attempt by the Central government to set the education system right. Some of the important provisions of the Bill:• Promises free and compulsory education of equitable quality up to the elementary level to all children in the age group of 6 to 14.
• Mandates unaided private schools to reserve up to 25 percent of the seats for students from weaker sections. The schools will be reimbursed by the lower of the actual school fee or per student expenditure in the government school. The aided schools will reserve “at least such proportion of their admitted children as its annual recurring aid bears to its annual recurring expenses subject to a minimum of 25 per cent.”
• Requires all remaining students to be accommodated by opening new government schools and within three years of the passage all students to have a school to go within their own neighbourhood.
• Forms School Management Committees (SMCs) comprising parents and teachers for state schools and aided schools. The SMCs will own the assets of the school, manage the accounts, and pay salaries.
• Establishes a National Commission for Elementary Education to monitor the implementation of the Bill, State Regulatory Authorities to address grievances under the Bill, and several ‘competent authorities,’ ‘local authorities,’ and ‘empowered authorities’ to perform a vast number of regulatory functions and meet out punishment to defaulters.
• Assigns all state school teachers to particular schools from which they will never be transferred-creates a school-based teacher cadre.The finance committee and planning commission rejected the Bill citing the lack of funds and a Model bill was sent to states for the making necessary arrangements.INTRODUCTIONAs is evident, even after 60 years, universal elementary education remains a distant dream. Despite high enrolment rates of approximately 95% as per the Annual Status of Education Report (ASER 2009), 52.8% of children studying in 5th grade lack the reading skills expected at 2nd grade. Free and compulsory elementary education was made a fundamental right under Article 21 of the Constitution in December 2002, by the 86th Amendment. In translating this into action, the `Right of Children to Free and Compulsory Education Bill’ was drafted in 2005. This was revised and became an Act in August 2009, but was not notified for roughly 7 months.The reasons for delay in notification can be mostly attributed to unresolved financial negotiations between the National University of Education Planning and Administration, NUEPA, which has been responsible for estimating RTE funds and the Planning Commission and Ministry of Human Resource and Development (MHRD). From an estimate of an additional Rs.3.2 trillion to Rs.4.4 trillion for the implementation of RTE Draft Bill 2005 over 6 years (Central Advisory Board of Education, CABE) the figure finally set by NUEPA now stands at a much reduced Rs.1.7 trillion over the coming 5 years. For a frame of reference, Rs.1 trillion is 1.8% of one year’s GDP.Most education experts agree that this amount will be insufficient. Since education falls under the concurrent list of the Constitution, financial negotiations were also undertaken between Central and State authorities to agree on sharing of expenses. This has been agreed at 35:65 between States and Centre, though state governments continue to argue that their share should be lower.KEY FEATURES OF THE ACT INCLUDE:1. Every child from 6 to 14 years of age has a right to free and compulsory education in a neighbourhood school till completion of elementary education.
2. Private schools must take in a quarter of their class strength from `weaker sections and disadvantaged groups’, sponsored by the government.
3. All schools except private unaided schools are to be managed by School Management Committees with 75 per cent parents and guardians as members.
4. All schools except government schools are required to be recognized by meeting specified norms and standards within 3 years to avoid closure.On the basis of this Act, the government has framed subordinate legislation called model rules as guidelines to states for the implementation of the Act.The family, I had been working for, (walia family) had always been caring for me, with occasional slaps and abuses, to which I had become accustomed to and accepted them as a part and parcel of my monthly income of 700 Rs along with square meals and the discarded cloths of the children to the master. But then that was my life……bhaiya and didi (son and daughter to the master) were both elder to me by 4 or 5 years respectively and during my free time often played along with me, but again I was reminded of my being a servant whenever I forgot that…they had thought me to read and write my name in Hindi, which I always kept scribbling at the corners of the walls which resulted in a colour change of my cheeks to red from white, whenever caught. That Act being the burning topic of those days always managed to occupy some space at the front page of every news paper, which further became a topic of early morning drawing room discussion for the family as it was that day and just like every normal citizen he also started which his speech, with the critique of right to education act and its loop holes….LOOPHOLES IN THE ACTThe Act is excessively input-focused rather than outcomes-oriented. Even though better school facilities, books, uniforms and better qualified teachers are important, their significance in the Act has been overestimated in the light of inefficient, corrupt and unaccountable institutions of education provision. Then the Act unfairly penalises private unrecognised schools for their payment of market wages for teachers rather than elevated civil service wages. It also penalises private schools for lacking the infrastructural facilities defined under a Schedule under the Act. These schools, which are extremely cost efficient, operate mostly in rural areas or urban slums, and provide essential educational services to the poor. Independent studies by Geeta Kingdon, James Tooley and ASER 2009 suggest that these schools provide similar if not better teaching services when compared to government schools, while spending a much smaller amount. However, the Act requires government action to shut down these schools over the coming three years. A better alternative would have been to find mechanisms through which public resources could have been infused into these schools. The exemption from these same recognition requirements for government schools is the case of double standards — with the public sector being exempted from the same `requirements’. By the Act, SMCs (school management committees) are to comprise of mostly parents, and are to be responsible for planning and managing the operations of government and aided schools. SMCs will help increase the accountability of government schools, but SMCs for government schools need to be given greater powers over evaluation of teacher competencies and students learning assessment. Members of SMCs are required to volunteer their time and effort. This is an onerous burden for the poor. Payment of some compensation to members of SMCs could help increase the time and focus upon these. Turning to private but `aided’ schools, the new role of SMCs for private `aided’ schools will lead to a breakdown of the existing management structures. Teachers are the cornerstone of good quality education and need to be paid market-driven compensation. But the government has gone too far by requiring high teacher salaries averaging close to Rs.20,000 per month. These wages are clearly out of line, when compared with the market wage of a teacher, for most schools in most locations in the country. A better mechanism would have involved schools being allowed to design their own teacher salary packages and having autonomy to manage teachers. A major problem in India is the lack of incentive faced by teachers either in terms of carrot or stick. In the RTE Act, proper disciplinary channels for teachers have not been defined. Such disciplinary action is a must given that an average of 25 percent teachers are absent from schools at any given point and almost half of those who are present are not engaged in teaching activity. School Management Committees need to be given this power to allow speedy disciplinary action at the local level. Performance based pay scales need to be considered as a way to improve teaching.The Act and the Rules require all private schools (whether aided or not) to reserve at least 25% of their seats for economically weaker and socially disadvantaged sections in the entry level class. These students will not pay tuition fees. Private schools will receive reimbursements from the government calculated on the basis of per-child expenditure in government schools. Greater clarity for successful implementation is needed on:• How will ‘weaker and disadvantaged sections’ be defined and verified?
• How will the government select these students for entry level class?
• Would the admission lottery be conducted by neighbourhood or by entire village/town/city? How would the supply-demand gaps in each neighbourhood be addressed?
• What will be the mechanism for reimbursement to private schools?
• How will the government monitor the whole process? What type of external vigilance/social audit would be allowed/encouraged on the process?
• What would happen if some of these students need to change school in higher classes?Moreover, the method for calculation of per-child reimbursement expenditure (which is to exclude capital cost estimates) will yield an inadequate resource flow to private schools. It will be tantamount to a tax on private schools. Private schools will end up charging more to the 75% of students – who are paying tuition’s – to make space for the 25% of students they are forced to take. This will drive up tuition fees for private schools (while government schools continue to be taxpayer funded and essentially free).Reimbursement calculations should include capital as well recurring costs incurred by the government.By dictating the terms of payment, the government has reserved the right to fix its own price, which makes private unaided schools resent this imposition of a flat price. A graded system for reimbursement would work better, where schools are grouped — based on infrastructure, academic outcomes and other quality indicators — into different categories, which would then determine their reimbursement.Quality of EducationThe quality of education provided by the government system remains in question. While it remains the largest provider of elementary education in the country forming 80% of all recognized schools, it suffers from shortages of teachers, infrastructural gaps and several habitations continue to lack schools altogether. There are also frequent allegations of government schools being riddled with absenteeism and mismanagement and appointments are based on political convenience. Despite the allure of free lunch-food in the government schools, which has basically turned the schools into a “dhaba” and school teachers to “chefs”, many parents send their children to private schools. Average schoolteacher salaries in private rural schools in some States (about Rs. 4,000 per month) are considerably lower than that in government schools. As a result, proponents of low cost private schools, critiqued government schools as being poor value for money.Children attending the private schools are seen to be at an advantage, thus discriminating against the weakest sections, who are forced to go to government schools. Furthermore, the system has been criticized as catering to the rural elites who are able to afford school fees in a country where large number of families live in absolute poverty. The act has been criticized as discriminatory for not addressing these issues. Well-known educationist Anil Sadagopal said of the hurriedly-drafted act:”It is a fraud on our children. It gives neither free education nor compulsory education. In fact, it only legitimizes the present multi-layered, inferior quality school education system where discrimination shall continue to prevail.”For me this new topic was like Ramayana being recited in the house, although Ramayana was still Hindi, but this was complete alien…it was Wednesday afternoon and the family members were all taking rest when I decided to run away from that house, and then actually did…but when was back home I was scolded brutally by my father who said ‘here comes one more, person with his mouth wide open, good for nothing creature’. After few days, I was as well enrolled in local village school, which served lunch to every student who attended the school. But the food wasn’t easy here too, every pupil was made to cook food and wash dishes, the left out time was utilized in fulfilling the desires of the school teacher. I did everything in the school but study. But my sister was not as lucky as me, although for sake of attending school, she was only enrolled in there but the reality was that she hardly attended any classes due to engagement in the household work, as that was more important and education for marriage than that what was written the school books. The only day we had a feast was when inspection was on the calendar. I did wanted to study but my pockets didn’t allow me, I always pondered but couldn’t make out what was wrong with my school when compared to those big ones in the cities but the answers were nowhere for me……THINGS WHICH CAN BE DONE FOR THE IMPROVEMENT.The RTE Act has been passed; the Model Rules have been released; financial closure appears in hand. Does this mean the policy process is now impervious to change? Even today, much can be achieved through a sustained engagement with this problem.Drafting of State RulesEven though state rules are likely to be on the same lines as the model rules, these rules are still to be drafted by state level authorities keeping in mind contextual requirements. Advocacy on the flaws of the Central arrangements, and partnerships with state education departments, could yield improvements in at least some States. Examples of critical changes which state governments should consider are: giving SMCs greater disciplinary power over teachers and responsibility of students learning assessment, greater autonomy for schools to decide teacher salaries and increased clarity in the implementation strategy for 25% reservations. If even a few States are able to break away from the flaws of the Central arrangements, this would yield demonstration effects of the benefits from better policies.Assisting private unrecognized schoolsSince unrecognized schools could face closure in view of prescribed recognition standards within three years, we could find ways to support such schools to improve their facilities by resource support and providing linkages with financial institutions. Moreover, by instituting proper rating mechanisms wherein schools can be rated on the basis of infrastructure, learning achievements and other quality indicators, constructive competition can ensue.Ensure proper implementationDespite the flaws in the RTE Act, it is equally important for us to simultaneously ensure its proper implementation. Besides bringing about design changes, we as responsible civil society members need to make the government accountable through social audits, filing right to information applications and demanding our children’s right to quality elementary education. Moreover, it is likely that once the Act is notified, a number of different groups affected by this Act will challenge it in court. It is, therefore, critically important for us to follow such cases and where feasible provide support which addresses their concerns without jeopardizing the implementation of the Act.AwarenessMost well-meaning legislation’s fail to make significant changes without proper awareness and grassroot pressure. Schools need to be made aware of provisions of the 25% reservations, the role of SMCs and the requirements under the Schedule. This can be undertaken through mass awareness programs as well as ensuring proper understanding by stakeholders responsible for its implementation.Ecosystem creation for greater private involvementFinally, along with ensuring implementation of the RTE Act which stipulates focused reforms in government schools and regulation for private schools, we need to broaden our vision so as to create an ecosystem conducive to spontaneous private involvement. The current licensing and regulatory restrictions in the education sector discourage well-intentioned ‘entrepreneurs’ from opening more schools. Starting a school in Delhi, for instance, is a mind-numbing, expensive and time-consuming task which requires clearances from four different departments totaling more than 30 licenses. The need for deregulation is obvious.Today, I am 15 in age, out of school and again away from home, working only to earn hand to mouth, to boast that am literate I have gained my elementary education but the fact is, I only know how to write my name in Hindi along with few more things and that’s not because of the school but I owe that to Mr walias’ children. And today, the biggest question for me is, why should anyone get enrolled in a school to gain elementary education, when that education is doing no good to him in the future? After 14 I had to leave the school, in spite of me being still in standard four, I couldn’t support my studies further so ultimately all my efforts went in vain, leaving me all to myself, just to ponder what should I do????CONCLUSION:The Act has failed in identifying what actually ails our education system and so not surprisingly it offers solutions that are either redundant or counter-productive. Its unrelenting faith in the bureaucracy and its seething animosity towards private initiatives in education reflect a bygone era. However well-intentioned the government may be, the central planning approach cannot serve the future needs of India. It has failed in economics and it cannot do any better in education. The promises made in the Bill then amount to political grandstanding.The fulfillment of the constitutional obligation does not necessarily require the state to build and manage schools. It can discharge its obligation successfully by restricting its role to the provision of financial resources to those who cannot afford and enabling all parents to make informed choices. The education system should be designed in such a manner that there is competition and choice. The schools should compete with each other to attract students and the students should in turn have the freedom to choose their school. This would ensure the best allocation of scarce resources and an improving quality of education.One way for the government to finance education that would guarantee access to school and would create right incentives for improving quality is to fund government schools on the basis of number students in the school. Instead of a lump sum grant, the government fixes a per student charge, which multiplied with the number of students, determines the grant that a school would receive. The state can also provide financial support to students in the form of a voucher that can be redeemed only at educational institutions to cover the expenses of education. With this education voucher, the student would be in a position to choose from amongst the various public and private schools.This would ensure competition amongst schools and thus good quality education. Furthermore, the financial resources of the state would be put to more effective use by targeting them towards the poor only and by optimally utilizing the management skills of the private sector. There is no doubt that privately managed institutions have made a tremendous contribution to the cause of education, and in the last decade particularly the unrecognised private schools for the poor. It would be a tremendous loss of social capital if these schools were forced to close down. If the government opens a new school and runs well, there would be no reason for parents to send their children to a fee-charging, unrecognised school.They would go out of business automatically. One more reason not to outlaw these schools with the passage of the Act is the chaos and harm it would create since they will have to close down well before the government will be able to open new schools across the country. In its zeal to fulfill its constitutional mandate, the government would achieve the opposite.Instead of treating private initiative as inherently corrupt and exploitative, the government should channel the private enterprise to help expand access and improve quality of education. It has been done with great success in many areas.a

If you’re stuck wondering how to be a successful small business owner, know this: running a small business often simply means making good use of successful small business ideas. Successful small business owners face many ups and downs throughout their work. They know that small business ideas cannot turn out successful unless they use the proper approach and strategies.If you want to be one of the few successful small business owners, remember that having a good strategy is crucial. Without the right strategy and a proper approach, you are not likely to achieve your goal.Some small business owners manage to overcome their everyday challenges, while others seem to give up after a while. So, let’s find out what successful small business owners do differently from the unsuccessful ones. Let’s turn their experience into your success through your small business ideas.1. MAKE ANNUAL REVISIONS OF YOUR BUSINESS PLAN AND BUDGETEvery business goes through changes every now and then, including your small business. For this reason, your business plan and budget should be somewhat flexible to bear such changes along with your business goals. Without revising your business plan and budget, you shouldn’t expect your business to flourish and expand.The flexibility of your business plan will help you avoid and overcome the eventual unpleasant surprises on the market. Also, such flexibility will give you some time to adjust to certain changes you may experience on your way.Every business experiences both success and failure points each year. In order to detect and estimate these points, you should revise your budget and business plan every year. While revising, you should check if you are still going in the right direction. If not, you may need to make some changes and adjustments to achieve better results in the upcoming period.Successful small business owners don’t hesitate to reallocate funds, if that is what it takes to achieve success. In order to increase profits, after they conduct a business revision, smart business owners define and implement the necessary changes immediately.2. UPDATE YOUR OFFER AND ADD VALUE TO ITPeople change, as do their needs and habits. As soon as you notice that you aren’t selling as much as you used to sell before, it is time to make changes. If people aren’t purchasing what you currently have to offer, that’s a clear hint that something needs to be done.A simple price cut may be the first thing that comes to your mind. As much as lower prices may seem more appealing to your customers, they also point to a devaluation of what you offer. Devaluation of your products or services is never a good thing, so try doing just the opposite – add value to your offers.The best way to update and add value to your products and services is by developing new offers. If possible, try to offer something completely new to your customers. You could offer product bundles, training programs and workshops, and so on.3. DARE TO BE DIFFERENTMost successful small business owners believe in daring to be different. They know their target consumers. Trying to target everyone and anyone as a consumer will get you nowhere fast. Instead of trying to make products for the masses, focus on a clearly targeted community and grow with it. Once you target your consumers, it is easy to understand their needs.Understanding your consumers is the secret to a successful business. When you know their needs, you can modify your products and services in order to satisfy them. Satisfied consumers will not only become your regulars, but they will also spread the word about what you offer. This may become the best marketing strategy for your business.Spreading the word about your products or services is called a referral marketing strategy. It’s been proven that most of the faster growing small businesses turn to this kind of marketing rather than relying on traditional advertising.4. KNOW YOUR COMPETITIONSuccessful small business owners know their competition. They know that keeping an eye on the competitors and understanding their policy and pricing is crucial to the business. It is wise to consider your direct competitors in your area, as well as indirect competitors.A direct competitor offers the same primary services to the same target group as you, and they are easy to follow on the market. However, an indirect competitor company offers the same or similar products as a segment of a wider product or service offering.In some cases, the indirect competitor may offer a product that is an applicable substitute for the original product. Successful small business owners know how to position their company against the indirect competitors. They take both types of competing companies seriously and they account for them in their annual business plan.5. HIRE THE RIGHT PEOPLEEven though hiring the right people for your business sounds obvious, it can be a really tough job for small business owners. Also, not hiring the right people could be a huge downfall for a small company. People who don’t share the concept of your business approach and goals are not the type of people you want to engage in your business.Candidates who don’t have the right temperament, skills, or talent for the job position that you offer can be too pricey for your company. Having the right people in the right job positions can make your company outstanding. Exceptional companies recruit exceptional people.6. ACCEPT TECHNOLOGY CHANGESTechnology changes on a regular basis nowadays. Successful business owners are very well aware of that, so they change accordingly. Doing things the way they were done years ago will not provide the same success nowadays.Accepting technological improvements can help your company become more effective and efficient. Keep yourself informed about the latest in new technology, and the improved solutions it brings. Choose the most appropriate ones for your business and adopt them. Your customers will be grateful and you’ll experience great benefits.7. TRUST YOUR INTUITIONIf you believe your intuition has been serving you well so far, listen to your inner voice carefully. Your instincts can lead you a long way. If you still feel strongly about something, regardless of the lack of facts or data – act on it. What seems right for other businesses doesn’t necessarily mean that it will work for you as well.Relying on intuition is often the first step out of your comfort zone, and the first step towards becoming a leading company on the market. While you watch your business grow and spread, remember that having faith in yourself and the business you are running is crucial. Being aware of your inner voice can lead you to making business decisions with more confidence and a greater success rate.

Federal Reserve chair Ben Bernanke is upset over sweeping inconsistency in small business loan approvals in the United States. Bernanke says that banks throughout the nation are denying loan requests from credible small businesses. He urged banks to stop being passive, and start being more active, by lending more to small businesses, adding that they are “crucial to America’s recovery.”However, bankers feel disillusioned over Bernanke’s sentiments. They earn money on each loan that they issue. There is a profit-driven motivation for banks to lend. It would seem to be illogical for a bank not to issue a loan, to a credible small business. Most bankers feel that there are fewer businesses to lend to, but are eager to start lending to creditworthy candidates.Banks versus Washington, and the risks of lending.The problem remains the same, there is a gap between what the government wants versus the banks. Therefore, the urging by Bernanke seems to be valid from the standpoint of trying to ignite a spark of motivation in the system. Banks remain apprehensive to initiate a loan, without the backing of solid credit history.Banks are dealing with their own problems, including the latest credit crunch, and shrinking consumer spending. Small businesses have seen their property values dwindle, and funding being limited.Therefore, risk is hard to accept when it comes to lending. In states where there are large deficits, risk becomes more of a problem. Small businesses who have felt the added pressure of the decline of a state’s economy may have bad debt, foreclosures, and may face a worsening attitude about lending overall.The environment for bank lending at this moment is volatile at best. With businesses seeking to reduce their debt, consumers earning far less money, and markets continuing to level-out, it is uncertain when confidence will be seen in the power of lending. As this happens, consumer prices are being lowered to reflect the economical shift; thereby accentuating big business who can afford the cuts, and the minimizing of smaller businesses and niche markets who cannot.Legislation is also a key concern of many lending agencies and small businesses. Health care reform has businesses up-in-arms about what to do, and how they will be classified with the reform. They are unsure what the tax burden may be, and are worried that they will incur a tax burden too heavy to bear.Overall, confidence is what will spur the change in both areas.Washington is trying to motivate the lending world, with legislation such as H.R. 5297, TARP and the codenamed “TARP Jr.” all of which aim to help with small business lending. Most banks argue that the problem is creditworthiness. Lenders are reticent about any legislation such as TARP, but it must be stated that it never requires lending agencies to do actual lending, it only adds the incentive to do so. Therefore, there is not much of a reason for banks to argue against legislation such as TARP or small business lending programs.Ultimately, banks hold the power and are hesitant to give out loans to businesses they see as risks. However, there is always risk associated with lending; it is up to the lending agency to determine how much risk to bear, and at this time, they want to keep the tide in their favor.Some people agree that not all the blame can be put on the banks. It is easy for the media to vilify banking, and “big corporate” entities. However, every loan a bank makes is also scrutinized by Federal regulators. If a bank makes a loan that is not profitable, they must set aside cash to offset the potential loss. Therefore, why would a bank want to make a loan that is too risky? Some people also argue that regulations should be decreased to allow banks to make riskier loans, but this line of thinking seems flawed at best. The housing collapse was a direct result of mortgage lenders who took advantage of a lack of specific regulation regarding risk assessment, thereby making profit on loans that they knew could not be afforded over the long-term. It is obvious the blame is both on greedy lenders and naive borrowers, in that situation.Some argue that it is Obama’s fault.Others blindly put the fault on the Obama administration citing that debt spending will doom the economy. And that the federal government has somehow incited uncertainty in the market. However, the facts are easier to discern. During the Bush presidency, national debt almost doubled. It has almost doubled again since then. And since 2007, the national debt has increased at a rate of 4.14 billion per day. It also must be noted that first-term presidency’s experience the debt of the previous 4, or 8 years of legislation that they did not oversee. Small business owners feel that the government just adds to the red tape associated with operations. Most feel that they are already burdened with too much debt. They are less inclined to hire more workers due to the shrinking of capital, and the uncertainty of confidence in Washington.Others believe the banks are at fault.Many argue that the reason there are so many unworthy candidates for loans is because of a banks power to freeze credit, or tighten lending practices. Consumer confidence is also related to credit. If there is a freeze in credit, potentially as it is now, then confidence in the financial industry will fall. Other logic dictates that lending is about risk-management, if banks, who can acquire reserves at no, or very low costs, refuse to lend, then ultimately that is their choice. If there were virtually no risk with lending, the economy would be remarkable, and there would essentially be no, or very little risk taking with business loans. Therefore, the argument of citing risk as a problem does not seem to reflect the real sentiment of the banks; many feel that they just do not want to lend in the current economic condition.