MUDRA Bank to revitalise MSME sector, says Kalraj Mishra

Loans to be provided hassle-free manner and at low interest rates; will play a major role in achieving Make In India

Union minister for micro, small and medium enterprises (MSMEs) Kalraj Mishra on Friday said the Micro Units Development and Refinance Agency (MUDRA) Bank would soon prove to be a game changer for the MSME sector.

“MUDRA Bank established by Prime Minister Narendra Modi aims at the financial inclusion of the micro and small units by making available loan in a hassle-free manner. Further, the loan is provided at cheaper rates to those running small enterprises and it will play a major role to achieve ‘Make in India’ objectives. Empowerment of MSME will be a key to the successful implementation of ‘Make in India’ which lays emphasis on enhancement of productivity, competitiveness and to support MSMEs and create an eco-system of world class manufacturing,” the minister said.

He was speaking at the sidelines of summit here today organised by Indian Electrical and Electronics Manufacturers' Association (IEEMA).

Mishra said MUDRA Bank would prevent small entrepreneurs from the exploitation of moneylenders. He said the Centre had taken a slew of initiatives for the benefit of nearly 5.77 crore MSMEs who provide jobs to 14 crore people. “The ministry has launched an online registration process with a provision of self certification for MSMEs to start their venture,” he said.

Further, the minister said that his ministry has already uploaded on its website an exit policy for the MSME sector with the dual objective of revival and rehabilitation of sick units or facilitating spin-off of unproductive entities.

This apart, the Centre is setting up skill development and incubation centres across the country. Besides, private sector is also coming forward to provide training in various states.