SIDBI to help State in MSME development

The Small Industries Development Bank of India (SIDBI) has entered into a memorandum of understanding with Telangana government for the promotion and development of micro, small and medium enterprises (MSMEs).

Under the MoU, a Project Management Unit (PMU) will be deployed by SIDBI to design schemes and programmes in areas of equity support, interest subvention, resolution of stressed MSMEs as well as to support entrepreneurs and facilitate other need-based intervention based on evaluation of existing status of the enterprises.

The PMU will also study existing framework of schemes, interventions, initiatives and projects for MSMEs and suggest modifications, if need be, with the aim to enhance their efficacy and remove bottlenecks.

The MoU, for developing the MSME ecosystem, was signed by director of Industries in the Telangana Industries and Commerce department D. Krishna Bhaskar and SIDBI deputy managing director V.S.V. Rao, the financial institution said in a release.

Mr.Rao said SIDBI has initiated the process of collaborating with State governments for more focused engagement in various forms for the upliftment of MSMEs. Through this, it intended to cooperate closely with States to strengthen the enterprise eco system with thrust on micro and small enterprises. “Imbibing good practices, rejuvenating existing programmes and policies and enabling a more responsive ecosystem will be the target,” he said.

The development is aligned to expectations laid down in UK Sinha Committee on MSMEs set up by RBI. The PMU will also prepare the process for handholding MSMEs in the State for their onboarding onto digital platforms such as PSBLoansIn59Minutes, Stock Exchange listing, e-commerce platforms such as government e-marketplace.

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Printable version | May 22, 2022 3:10:35 pm |