In the present day economy of our State, the small - scale industries have to serve as one of the vital sectors of the economy, and they are required to play an important role in the socio-economic transformation of an overpopulated under - developed economy of Bihar. The salvation of the state list is in the development of small - scale industries. A brief theory has been presented was regard to Harrods warranted growth rate and a natural growth rate. An examination saving and investment conditions of the Bihar shows that a BSFC as a development be can simultaneously influence saving and investment ratio and productivity. This will only help the corporation is assessing the utility of its financial assistance in finding out to contribution of the BSFC in the economy of state. Keywords: economy of our State, small - scale industries, socio-economic transformation, BSFC, saving and investment ratio etc.