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PM Modi addresses the post-budget webinars on MSME
The Prime Minister Shri Narendra Modi on 4 March addressed the post-Budget webinars via video conferencing. The webinars were held on MSME as an Engine of Growth; Manufacturing, Exports and Nuclear Energy Missions; Regulatory, Investment and Ease of doing business Reforms. Addressing the gathering on the occasion, he remarked that the post-budget webinars on manufacturing and export are of great importance. Mentioning that this budget is the first full budget of the Government’s third term, he emphasised that the most notable aspect of this budget is its delivery, which exceeded expectations.
Pointing out that the country has witnessed consistent Government policies for over a decade, the Prime Minister highlighted that in the past 10 years, India had shown a commitment to reforms, financial discipline, transparency, and inclusive growth. He emphasized that the assurance of consistency and reforms has brought new confidence within the industry. He assured every stakeholder in manufacturing and export that this consistency will continue in the coming years.
PM emphasis on skilling to reduce costs
Highlighting that 14 sectors were currently benefiting from the PLI scheme, the Prime Minister said that under the scheme, more than 750 units have been approved, resulting in an investment of over Rs. 1.5 lakh crore, production worth over Rs. 13 lakh crore, and exports exceeding Rs. 5 lakh crore. He emphasized that this demonstrates how entrepreneurs can advance in new areas when given opportunities. Shri Modi announced the decision to launch two missions to promote manufacturing and export. He highlighted the focus on better technology and quality products, as well as the emphasis on skilling to reduce costs. He urged all stakeholders to identify new products in demand globally that can be manufactured in India and encouraged them to approach countries with export potential strategically.
Employment opportunities for the youth
“MSME sector is the backbone of India’s manufacturing and industrial growth”, said the Prime Minister. He highlighted that in 2020, the Government made a significant decision to revise the definition of MSMEs after 14 years, which eliminated the fear among MSMEs that they would lose government benefits if they grew. He noted that the number of MSMEs in the country has increased to over 6 crore, providing employment opportunities to crores.
Definition of MSMEs further expanded
Shri Modi emphasized that in this budget, the definition of MSMEs has been further expanded to instill confidence in their continuous growth. This will create more employment opportunities for the youth, he said, highlighting that the biggest problem faced by MSMEs was the difficulty in obtaining loans. He added that ten years ago, MSMEs received loans worth approximately Rs. 12 lakh crore, which has now increased to around Rs. 30 lakh crore. The Prime Minister announced that in this budget, the guarantee cover for MSME loans has been doubled to Rs. 20 crore. Additionally, customized credit cards with a limit of Rs. 5 lakh will be provided to meet working capital needs.