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Published 12:41 IST, July 2nd 2020

MSME sector pivotal in development, to be benefitted under Centre's scheme: Uttarakhand CM

Uttarakhand CM Trivendra Singh Rawat said the MSME sector plays an important role in the development of the State and small enterprises will be be benefitted

Reported by: Gloria Methri
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Uttarakhand Chief Minister Trivendra Singh Rawat said on Thursday that the MSME sector plays an important role in the development of the State and as the Centre has redefined MSMEs, the enterprises in Uttarakhand will be benefitted.

"The MSME sector has an important role in the development of Uttarakhand," said CM Rawat. "Employment generation is a major source, with the Central government defining MSMEs in a new way, the micro, small and medium enterprises of the State will benefit which will have a positive impact on the development of the state," he added.

READ | Rs 933 Cr Distributed To 28,000 MSMEs In Assam Under PM's COVID-19 Package: Sonowal

Benefits to MSMEs in Uttrakhand

According to the Chief Minister's Office, investment limit has been increased in micro, small and medium enterprises to Rs one crore and enterprises with turnover up to Rs five crore will be categorised under micro-industry.

In the same way, enterprises with investment up to Rs 10 crore and turnover up to Rs 50 crore will be categorised under small enterprises, while enterprises with investment up to Rs 50 crores and turnover up to Rs 250 crores will fall in the category of medium enterprises.

Public sector banks have sanctioned loans worth Rs 10,361.75 crore under the 100 percent Emergency Credit Line Guarantee Scheme, said Finance Minister Nirmala Sitharaman's office on Wednesday. 

READ | Banks In Gujarat Disburse Over Rs 2,400 Crore To MSMEs

Banks provide loans worth Rs 10,361 crore to MSMEs

Public sector banks have disbursed Rs 3,892.78 crore in the first two days of the month under the Rs 3-lakh crore Emergency Credit Line Guarantee Scheme (ECLGS) for the Micro, Small and Medium Enterprises (MSME) sector hit hard by the coronavirus-induced lockdown.

The Emergency Credit Line Guarantee Scheme (ECLGS) has been formulated as a specific response to the unprecedented situation caused by COVID-19 and the consequent lockdown, which has severely impacted manufacturing and other activities in the MSME sector. The Department of Financial Services has called the MSMEs as the backbone of the Indian economy and the government is committed to their growth.

READ | In CM Self-employment Scheme Give Preference To Jobless Youths: Trivendra Singh Rawat

On May 20, the Union Cabinet, chaired by Prime Minister Narendra Modi, had approved to enable additional funding of up to Rs 3 lakh crore to eligible MSMEs and interested Micro Units Development and Refinance Agency Bank (MUDRA) borrowers.

Under the scheme, 100 percent guarantee coverage will be provided by National Credit Guarantee Trustee Company (NCGTC) for additional funding of up to Rs 3 lakh crore to eligible MSMEs and interested Micro Units Development and Refinance Agency (MUDRA) borrowers, in the form of a guaranteed emergency credit line (GECL) facility

READ | World MSME Day: MoS Pratap Sarangi Launches MSME Forum For Indian Entrepreneurs

(With Agency inputs/Image credits: PTI)

12:41 IST, July 2nd 2020