NE BUSINESS BUREAU
GANDHINAGAR, MAY 30
Stating that there are 33 lakh MSME units in Gujarat, providing jobs to 1.5 crore people and the MSME sector has a record of 95 percent repaying loans, Gujarat Chief Minister Vijay Rupani on Saturday urged the bankers to extend loans to micro, small and medium enterprises (MSME) sectors.
પ્રજાજોગ સંદેશ #Unlock1 #IndiaFightsCorona #GujaratFightsCovid19 pic.twitter.com/pcsSmjuS6o
— Vijay Rupani (Modi Ka Parivar) (@vijayrupanibjp) May 30, 2020
Addressing the State Level Bankers Committee (SLBC) through video-conference here, Vijay Rupani said: “There are 33 lakh MSME units in Gujarat, providing jobs to 1.50 crore people. And the MSME sector has a record of 95 percent repaying loans. The Central Government has recently announced Rs. 20 lakh crore package to come out of the situation arising of COVID-19, out of which Rs. 3.50 lakh crore is for the MSME sector.”
Gujarat attracts Rs.42,976-crore foreign direct investment (FDI) in the financial year 2019-20 which is twenty times greater than the average FDI growth of the nation as per the report of @DIPPGOI pic.twitter.com/QCHicfYrP3
— CMO Gujarat (@CMOGuj) May 29, 2020
“The government announcements include extending bank loans to MSME units without collateral. The Reserve Bank of India has reduced the Repo Rate to facilitate liquidity, extending easy loans to the MSME, and increase economic activity. The MSME Commisionarate can be the bridge as single-window agency between the banks and MSME units,” Rupani added.
Rupani called on the state’s Micro Small and Medium Enterprises (MSME) to take maximum benefit of economic and industrial incentives given to them to come out of the situation created due to the global pandemic novel coronavirus COVID-19. It is time for Gujarat to showcase its unique entrepreneurial skill to convert challenges into opportunities.
In this context, he also urged the banks to be proactive and extend loan-assistance to the MSME units as per the needs and fulfil their responsibility of reviving and reactivating this sector.
Further, the chief minister urged the banks to extend easy bank loans at maximum 9.25 per cent interest, with lead banks to ensuring it, constituting a committee at the district level with the Collector as its chairman for co-ordination between chambers of commerce, DIC officers, lead bank officers and MSME office-bearers.
The Chief Minister was talking to bankers, general managers of District Industries Centre (DIC) General Managers, representatives of chambers of commerce and industry and office-bearers of MSME in an interactive brainstorming session through video-conferencing from his residence here. Deputy Chief Minister Nitinbhai Patel also joined the video-conference.
Deputy Chief Minister Nitinbhai Patel said, “The industries and commerce have come to a standstill and paralyzed life due to the coronavirus around the world. While we were wondering as to how to come out of this situation, the Prime Minister announced the big relief package creating an opportunity for MSME sector in the state to come to life again.”
Patel, who alos holds the finance portfolio, further said that the State Government is doing its best but the bankers and industrialists also have to cooperate with the government in the state’s march to economic recovery. The faster it could be achieved, the better it would be for the entrepreneurs and workers. He exuded confidence that Gujarat can do it. He said the RBI had created liquidity and now it is for the MSME sector to rise to the occasion
Chief Minister’s Principal Secretary M.K. Das, who is also Principal Secretary for Industries, said that Gujarat’s growth rate for FDI is 17 times that of India’s average. The credit goes to the Chief Minister’s leadership, so also his guidance to develop MSME sector in Gujarat.
Others present during the video-confernece included Industries Commissioner Rahul Gupta, MSME Commissioner Ranjith Kumar, iNDEXTb GM Neelam Rani.
