Centre Unveils Rs 18,100 Cr Relief Package for MSMEs & Airlines; Approves New Semiconductor Units
The semiconductor manufacturing facilities will be set up in Gujarat with a cumulative investment of about Rs 3,936 crore and are expected to generate cumulative employment for 2,230 skilled professionals. “Crystal Matrix Limited (CML) will establish an integrated facility for compound semiconductor fabrication and ATMP in Dholera, Gujarat, for manufacturing mini/micro-LED display modules.”
New Delhi: Amid the challenges posed by the West Asia conflict, Centre on Tuesday announced some measures to provide a big relief to the micro, small and medium enterprises (MSMEs), airlines sectors and other related companies to help them meet their working capital. The Union Cabinet cleared an emergency credit line guarantee scheme (ECLGS) with an outlay of Rs 18,100 crore. Besides, the government also approved two more semiconductor-manufacturing units with cumulative investment of more than Rs 3,936 crore.
As far as the ECLGS scheme is concerned, the scheme is expected to help in providing additional credit flow of Rs 2.55 lakh crore, including Rs 5,000 crore, was approved by the central government. “The scheme, having an outlay of Rs 18,100 crore, would help airlines as well as MSMEs and airline sector impacted by the West Asia crisis,” said information and broadcasting minister Ashwini Vaishnaw, while briefing the media on the Cabinet decisions.
However, the government said in its official statement that the scheme aims to enable businesses to tide over the challenges arising from the West Asia conflict. “Additionally, this is expected to help businesses maintain their operations, protect jobs, and sustain supply chains. The proposed credit guarantee scheme is a major step to help businesses, particularly MSMEs and airline sector, to ensure their additional working capital needs are catered by the banks and financial institutions,” it said.
It has been observed that MSMEs as well as airlines have been facing substantial financial headwinds due to the West Asia conflict that started in February. By providing timely liquidity, the government said that the scheme would sustain the businesses and prevent job losses. “It will also promote uninterrupted domestic production and maintain the resilience of the ecosystem,” it said.
Meanwhile, the Union Cabinet also approved two more semiconductor-manufacturing units with cumulative investment of more than Rs 3,936 crore. The semiconductor projects, Vaishnaw said, have been approved under India Semiconductor Mission (ISM), which includes the country’s first commercial mini/micro-LED display facility based on Gallium Nitride or GaN technology and a semiconductor packaging facility.
The semiconductor manufacturing facilities will be set up in Gujarat with a cumulative investment of about Rs 3,936 crore and are expected to generate cumulative employment for 2,230 skilled professionals. “Crystal Matrix Limited (CML) will establish an integrated facility for compound semiconductor fabrication and ATMP in Dholera, Gujarat, for manufacturing mini/micro-LED display modules,” the minister said.
As per the government, Suchi Semicon Private Limited (SSPL) will set up an Outsourced Semiconductor Assembly and Test (OSAT) facility in Surat, Gujarat, for manufacturing discrete semiconductors. “With these two approvals, the semiconductor ecosystem in the country would get a significant boost as the number of approved projects under India Semiconductor Mission reaches 12, with cumulative investments of about Rs 1.64 lakh crore,” it said.
