State Financial Corporations (SFCs) provide finance to industries. They were established with the purpose of promoting the growth of small, medium and large-scale industries in the country in order to expand the growth of industries and make the nation autonomous. They play a major role in the industrial development of regions. SFCs have been providing finance, technical competence, etc., to the small and medium-scale industries in the states. The main objective of the study is to study the development role played by SFCs in empowerment of the society. The study is analytical in nature. The data for the present study have been obtained from the annual reports of SFCs. Result shows SFCs have been instrumental in industrialization and fulfilling of various social obligations of the state like economic development, empowerment of weaker sections, generation of employment, balanced regional development and development of backward areas etc.