Subordinate Debt Scheme under Atma Nirbhar Bharat should be leveraged to support Stressed MSMEs in this Covid times
Hyderabad, July 24 (NSS): Confederation of Indian Industry (CII) in association with Telangana Industrial Health Clinic Ltd (TIHCL) organized a virtual session on “Learning the Hard Way for Revival: Manufacturing MSMEs under Atma Nirbhar Bharat Abhiyan: Subordinate Debt (Equity)”.
Speaking at the Session, Chief Guest, Jayesh Ranjan, Principal Secretary, ITE&C, Industries & Commerce Department, Govt. of Telangana said Subordinate debt scheme is very unique and needy for stressed MSMEs. He said that State need to plan to gain the benefit from the scheme and has the potential to be in the leading position because of its readiness and having unique institution such as TIHCL who have been helping MSMEs who are sick. He urged banks to do the necessary analysis to support the NPAs and stressed MSMEs.
He said that TIHCL can do diagnostic study and have specific plans and strategies in terms of providing consultancy and solutions in areas such as management, marketing, finance, technology etc to revive them. He urged banks to work with TIHCL in supporting stressed MSMEs.
Earlier, during his welcome address, AVS Reddy, Convenor, CII Telangana MSME Panel & Managing Director, Appidi Technologies Pvt Ltd, welcomed the guests and participants. He stated that the Subordinate Debt scheme under Atma Nirbhar Bharat Abhiyan is timely and help MSMEs under the current crisis. He said that there is an urgent need to implement the scheme effectively and enable banking system in facilitating this scheme to the needy and stressed MSMEs.
Dr B Yerram Raju, MSME Expert and Adviser, Government of Telangana and Telangana Industrial Health Clinic Ltd., said that Indian economy on the path of revival and most of it is happening in Tier-2&3 cities. He said that for the last few month cores of job loses happened in the country. Enterprises who have started working are yet to see their working capacity and demand of pre-covid time. He also said that in a survey of SMEs, 61% enterprises felt that they are not likely to pay their due after the end of current moratorium which will put pressure in banking system. He opined that there is mistrust crept into the system which need to be addressed. Though banks were asked to revive and restructure enterprises under 3 stages but did not take place for the last three years. He said that TIHCL will support and handhold stressed MSMEs and NPAs for their revival.
The virtual seminar was attended by over 75 MSMEs from Telangana and other states. Other speakers from have shared information of subordinate debt and other facilities which MSMEs can avail. (NSS)