The industry bodies and leading businessmen in West Bengal on Wednesday lauded the financial package and policy interventions announced by the Centre, to revive the country’s economy, which has been severely hit thanks to the coronavirus-triggered lockdown.
The turnover-based definition of MSMEs has addressed an extended pending demand and extended the advantages to an outsized number of companies, city-based Indian Chamber of Commerce said during a statement.
Finance Minister Nirmala Sitharaman announced Rs 3 lakh crore of collateral-free loans for little businesses, a cut within the rate for non-salary payments and measures to supply liquidity to non-banking companies to assist them bridge over the disruptions caused by the lockdown.
“The Rs 3 lakh crore government guaranteed loans to the liquidity-starved MSMEs would go an extended way in stabilising and strengthening the world ,” the industry body said.
The power distribution companies, which face unprecedented income problem, are going to be benefited from the emergency liquidity injection to the tune of Rs 90,000 crore, it said.
City-based Merchants’ Chamber of Commerce president Vivek Gupta also hailed the Centre for brand spanking new defenition of MSMEs.
“Hope MSMEs are going to be fully ready to extract benefits from the implementing institutions,” he said.
Bandhan Bank MD and CEO, C S Ghosh, said, “The special liquidity and partial credit guarantee schemes for NBFCs, HFCs and MFIs will ultimately benefit the top consumers, many of who are within the rural and semi-urban areas.”
Praising the stimulus package, Village Financial Services MD and CEO Kuldip Maity said the microfinance institutions are facing a troublesome time thanks to significant income issues.
“The liquidity infusion measures will help combat the rising stress within the sector and eventually, cater to the needy borrowers who are in search of emergency loans to resume their business operations,” he said. Welcoming the package unveiled by the Centre, Engineering Export Promotion Council of India Chairman Ravi Sehgal said, “Infusion of liquidity through debt and even equity into the MSMEs may be a major breakthrough .” Real estate developers on Wednesday said the government’s decision to increase the timeline of completion of projects by six months will provide much needed relief to the industry but sought more measures to enhance liquidity, reduce input cost and boost housing demand.
Credai West Bengal President Sushil Mohta appreciated the declaration of Covid-19 as “Force Majure” which will give the “real estate sector some breather”.
“The sector is extremely important for restarting the economic activities. there’s far more to be done. We expect a discount in interest rates,” Mohta said.
