- Presenting the Budget 2019-20,the finance minister has unveiled a slew of initiatives and new provisions to tackle issues related to the Micro, Small and Medium Enterprises(MSME) sector in the country.
- The Finance Minister has announced that Rs 350 Crore will be allocated for 2% interest subvention for all GST registered MSMEs on fresh and incremental loans.
- The government has introduced a scheme for providing loans up to ₹1 crore within 59 minutes through a dedicated online portal.
- The Government has also announced to create a payment platform for MSMEs to enable filing of bills and payment on the platform itself to eliminate delays in government payments.
- Under the scheme named Pradhan Mantri Karam Yogi Maandhan Scheme,the government will extend pension benefits to about three crore retail traders and small shopkeepers whose annual turnover is less than ₹1.5 crore.Enrolment will be kept simple requiring only Aadhaar and a bank account.
- Under the Scheme of Fund for Upgradation and Regeneration of Traditional Industries (SFURTI),100 new clusters will be set up during 2019-20,enabling 50,000 artisans to join the economic value chain.
- SFURTI aims to set up Common Facility Centres(CFCs) to facilitate cluster-based development to make traditional industries more productive,profitable and capable for generating sustained employment opportunities.Focused sectors are Bamboo,Honey and Khadi clusters.
- Further,10,000 new Farmer Producer Organizations are proposed to be formed to ensure economies of scale for farmers,under the Scheme for Promotion of Innovation, Rural Industry and Entrepreneurship’ (ASPIRE).
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