Govt keen to revise MSME definition

The government is keen to revise the definition of micro, small and medium enterprises (MSMEs) to ensure that they are able to keep pace with the changing business environment, MSME Minister Kalraj Mishra today said.
Mishra, who was here to launch the Online Finance Facilitation Centre for SMEs supported by CII, said his Ministry was reworking the definition of MSMEs.
The Minister emphasised upon the need for skill development and an integrated approach to create opportunities for the common people and young entrepreneurs. He mentioned that this will not only build confidence, but also lead to self-sustainability resulting in self-development and nation building.

"As there are over four lakh unregistered enterprises, how to bring them into the mainstream is what needs to be worked upon. This would need identification of several new sectors like defence and aviation," Mishra said.
The Facilitation Centre has been established to provide advisory and credit facilitation support to SMEs. It will operate as a one-stop-shop, aggregating financing options from various major financial institutions. It will match SME financing demands with Banks and financial institutions.
The Centre will also conduct outreach programmes in partnership with the Ministry of MSME and the partnering Financial Institutions across the country to create awareness among SMEs on the avenues for accessing finance.

SME Members across India can easily approach this Centre through an online interface for their credit requirement and the Centre will facilitate the SMEs with documentation and preparation of bankable project proposals. On the other hand, the exact KYCs will help Banks/FIs to render quick delivery.
The MoU with CII for establishing the Facilitation Centre was signed by lenders, including Indian Bank, Indian Overseas Bank, Federal Bank, Muthoot Fincorp Ltd, Religare Finvest, DCB Bank and State Bank of Travancore.