Credit guarantee will help to restore the supply chain: Venu Srininvasan

Govt measures will also help to kick-start financial activity during the pandemic, says TVS Motor chairman

The fiscal stimulus announced by the government will help to improve the financial system, impacted by Covid-19 induced lockdown, and the positive business perception will stimulate demand, Venu Srinivasan, Chairman, TVS Motor Company said.

According to him, the large credit guarantee will be a great step to restore the supply chain, augment liquidity and help MSMEs revive the business, which was heavily impacted by the shutdown.

“We welcome the comprehensive and highly progressive measures announced by the Finance Minister on Wednesday, injecting much-needed liquidity for non-banking finance companies (NBFCs) and MSMEs (micro, small and medium enterprises)," said Srinivasan.

The announcement of Rs 3 trillion collateral-free automatic loans is an exemplary move to boost the industry sentiment, he said.

"The massive fiscal stimulus will help improve the impacted financial system and the positive business perception will stimulate demand. These measures will also help to kick-start financial activity during the pandemic," he added.