(Priyanka Gupta, Intern Journalist): Additional Chief Secretary, Micro, Small, and Medium Enterprises Dr. Navneet Sehgal said that there is a target of disbursing Rs 15,000 crore loan to MSME units and will be an important role for bankers in achieving this target. He said that 80% of the units have been produced with 80 to 100% capacity since the lockdown. Efforts are being made to start the remaining units soon.
Dr. Sehgal was addressing a webinar organized by the Reserve Bank of India to facilitate credit availability to MSME units, conditions of post-Covid, and methods of loan disbursement in MSME units. He said that under the Self-Reliant India Package, the goal is to benefit more and more MSME units in the state through the Emergency Credit Line Guarantee Scheme. Banks should provide full support in this.
He said that the growth of MSME units in Uttar Pradesh is better than in other states. He said that clusters have been identified in all the districts of the state under the One District-One Product (ODOP) scheme. Each bank associated with SLBC should make meaningful efforts to provide lending to them by choosing one or two ODOP products.
Additional Chief Secretary said that many MSME units are deprived of availing credit facilities under the self-sufficient India package for certain reasons. He said that a list of such units should be made available so that by communicating with them and resolving their problems and curiosities, they can be benefited from this scheme. During the discussion, he specifically expected each state-level Bankers’ Committee to intensify the pace of granting loans to MSME units and to ease regulations. He said that fair and prompt loans to entrepreneurs would also help in reducing NPAs.
This step will also ensure that the needy unit gets the loan without any hassle. He also assured to set up an ODOP cell for the convenience of SLBC to fulfill this objective.
In the webinar, various points were discussed, including credit work for the revival of units, a one-time restructuring scheme, a credit guarantee trust fund scheme, to maintain a credit flow for the MSME sector.
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