New Delhi: In a Diwali bonanza, Prime Minister Narendra Modi on Friday announced a slew of measures, including sanction of loans of up to Rs 1 crore to small and medium enterprises in 59 minutes through a special portal, to give a boost to the nation’s second biggest employing sector.
GST-registered MSMEs can now avail of loan of up to Rs 1 crore in just 59 minutes, he said announcing the measures. Also, GST-registered MSMEs will get 2 per cent interest subvention or rebate on incremental loan of up to Rs 1 crore, he said.
Interest subvention on pre and post shipment credit for exports by MSMEs has been increased from 3 per cent to 5 per cent, Modi informed.
The Prime Minister also announced Rs 6,000 crore for creation of 20 hubs and 100 tool rooms for technology upgradation. Talking of India jumping 23 places on World Bank’s “Ease of Doing Business” ranking, Mr Modi said in four years his government has achieved what many did not believe and achieved what no other nation in the world has done leaping from rank 142 in 2014 to 77 now. “Breaking into the top-50 rank is not far away,” Mr Modi claimed.
To rid the sector of inspector raj, he announced that inspections of factories will be sanctioned only through a computerised random allotment and inspectors will have to upload reports within 48 hours. “No inspector can now go anywhere. He will be asked why he went to a factory,” he said.
Easing compliance with environmental rules, MSMEs will need single air and water clearance to establish a factory. MSMEs will have to file just one return on eight labour laws and 10 central rules, he said, adding that an ordinance has been promulgated to simplify levy of penalties for minor offences.
