Odisha plans credit facilitation camps for MSMEs

For the growth of MSME (micro small and medium enterprises) sector in the state, the state MSME department plans to organise credit facilitation camps at the district level for providing on the spot credit to viable projects.

Credit facilitation camps will be organised at the key locations with provisions of on-the-spot sanctioning of loans to viable projects. Camps will be organised at places like Berhampur, Rourkela, Sambalpur.

Major districts with MSME concentration will be completed within March this year, said Panchanan Dash, state MSME secretary.

Dash said, for revival of the sick units, the banks must implement the KC Chakraborty Committee recommendations in letter and spirit.

He complained that the recommendations of prime minister's task force on MSME, under the chairmanship of T K A Nair, asking the banks to ensure 10 per cent annual growth in number of micro enterprises account and allocation of 60 per cent of the advances earmarked for micro and small enterprises to micro units alone have not been achieved.

Against this target of providing 60 per cent of MSME loans to micro units, the achievement in the state till date is only 52 per cent, he rued.

The bank should identify the real entrepreneurs and expedite loan disbursement to them, Dash said.

Speaking at a seminar on Credit Facilitation to MSMEs, N Bhaskar Rao, deputy chairman of state planning board said, banks should regularly review the financial condition and viability of MSMEs and provide them credit facility in time by which these units can grow, prosper and repay the loan.

The seminar was organised on the occasion of Odisha MSME Trade Fair-2015.

As per latest census, there are about 1.5 million MSME units in the state providing about 3.3 million people. The growth rate of MSME in Odisha is 32 per cent against the national rate of 28 per cent.