sb.scorecardresearch
Advertisement

Published 17:25 IST, May 13th 2020

Govt changes Definition of MSMEs, revises investment limit; here's what is different

In a major announcement, Finance Minister Nirmala Sitharamn stated that the definition of Micro, Small & Medium Enterprises (MSMEs) will now be revised.

Reported by: Ananya Varma
Follow: Google News Icon
  • share
MSME
null | Image: self
Advertisement

In a major announcement, Finance Minister Nirmala Sitharamn on Wednesday stated that the definition of Micro, Small & Medium Enterprises (MSMEs) will now be revised since their low threshold was holding them back from growing.  While revealing that there was a long-pending demand for revision in the definition of MSMEs, Sitharaman announced that the investment limit for the MSMEs will be revised upwards, and additional criteria of turnover will also be introduced.

Along with this, the distinction between the manufacturing and service sector will be eliminated and necessary amendments to laws will be brought. To provide stressed MSMEs with equity support, the Government will also facilitate the provision of Rs. 20,000 crore as subordinate debt under which two lakh MSMEs are likely to benefit.

Read: 'Aatmanirbhar Bharat Does Not Mean That India Is An Isolationist Country:' FM Sitharaman

Read: PM Modi Lays Down 'Aatma Nirbhar Bharat' As India's Plan To Battle Coronavirus Crisis

Read: Finance Min Unveils First List Of 15 Measures Of Economic Package; Read Details Here

Read: Central Police Canteens To Sell Only Swadshi products; Home Min Backs PM Modi's Local Push

17:25 IST, May 13th 2020