PM Modi launches 12 schemes for MSMEs: Top announcements

Prime Minister Narendra Modi on Friday announced 12 major programmes and schemes under the Micro, Small and Medium Enterprises (MSME) Support and Outreach programme in Delhi. Referring this as ‘Diwali Gift’ for the small businessmen in the country, PM Modi stated that with these schemes, the economic development will grow in multiple folds.

Here are the 12 key announcements he made at the Vigyan Bhawan for the development of MSME sector:

1. Among the 12 announcements made by the Premier, the launching of 59-minute loan portal for sanction of up to Rs 1 crore for small and medium enterprises was the most interesting one.
2. The GST-registered MSMEs will get 2 per cent rebate on an incremental loan of up to Rs 1 crore.
3. For the development of technological upgradation in connection with MSME, the Premier announced Rs 6,000 crore package. With this package, 20,000 hubs and 100 tool rooms will be developed around the country.
4. The Union government decided to increase interest Subvention for exports by MSMEs on pre and post-shipment credit from 3 per cent to 5 per cent.
5. The PM made it mandatory for all the companies with a turnover of more than Rs 500 crore to join TReDS platform — Trade Receivables e- Discounting System. This will help in MSMEs in sorting out troubles in cash flows.
6. The BJP-led Union government increased mandatory sourcing by PSUs from MSMEs to 25 percent. Earlier, it was 20 percent.
7. PM Modi directed government companies to buy at least 3 per cent of their purchases from women entrepreneurs.
8. GeM (Government e-Marketplace) membership has been made mandatory for companies. All the companies will have to register its MSME vendors through this platform. The PM was of the opinion that this will help the MSME sector.
9. The Prime Minister also announced MSME sector’s ease of doing business to pharma companies.
10. Along with it, the PM announced Environment clearance and ease of self-certification.
11. From now onwards, MSMEs will have to file just one annual return on eight labour laws and 10 central rule.
12. Providing relief to MSMEs from legal complications, the premier announced that his government has made a big change to Companies Act.

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