Lok Sabha Question No. 262 (STARRED), answered on 2021-12-16
Subject: Loss suffered by MSME Sector
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Rahul Gandhi

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA STARRED QUESTION NO. 262 TO BE ANSWERED ON 16.12.2021

## LOSS SUFFERED BY MSME SECTOR

## *262. SHRI RAHUL GANDHI:

Will  the  Minister  of  MICRO,  SMALL  AND  MEDIUM  ENTERPRISES  be  pleased  to state:

- (a) whether  the  Government  has  taken  cognizance  of  the  alarming  increase  in  the number of suicides by MSME business owners and entrepreneurs, especially traders and vendors;
- (b) if so, whether the Government proposes to provide assistance to the families of the deceased;
- (c) whether  the  Government  has  undertaken  any  comprehensive  study  to  estimate/ assess the loss suffered by the MSME sector due to the Covid pandemic;
- (d) if so, the details thereof;
- (e) the  State-wise  the  details  of  stressed  MSME  units  and  MSME  NPAs  as  on November 30, 2021;
- (f) the State-wise details of outstanding MUDRA loans and gross MUDRA NPAs as on November 30 , 2021 and for the corresponding period in 2020;
- (g) whether the Government is providing support to stressed MSMEs, especially micro enterprises; and
- (h) the  details  of  loans  provided  to  promoters  of  stressed  MSMEs  under  Credit Guarantee Scheme for Subordinate Debt (CGSSD), State-wise?

## ANSWER

MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NARAYAN RANE)

- (a) to (h):      A statement is laid on the Table of the House.

## STATEMENT REFERED TO IN REPLY TO PARTS (A) TO (H) OF THE LOK SABHA STARRED QUESTION NO.*262 FOR ANSWER ON 16.12.2021

(a) & (b): The  National  Crime  Records  Bureau  has  informed  that  as  per  published reports, a total of 9,052 self employed persons (Business) committed suicide in the year 2019 and a total of 11,716 self employed persons (Business) committed suicide in the year 2020.  The  Bureau  does  not  categorise  the  suicide  data  by  MSME  business  owners  and entrepreneurs separately.

The  Government  has  taken  a  number  of  initiatives  under  Aatma  Nirbhar  Bharat Abhiyan to    support the MSME Sector. Some of those are:

- i) Rs. 20,000 crore Subordinate Debt for MSMEs.
2. ii) Rs. 3 lakh crores Collateral free Automatic Loans for business, including MSMEs. The limit of Rs. 3.00 Lakh Crore has been enhanced to Rs 4.5 lakh  crore.
3. iii) Rs. 50,000 crore equity infusion through Self Reliant India Fund.
4. iv) New revised criteria for classification of MSMEs.
- v) New  Registration  of  MSMEs  through  'Udyam  Registration'  for  Ease  of  Doing Business.
6. vi) No global tenders for procurement up to Rs. 200 crores.

In addition to this,  the  Ministry  of  MSME,  also  supports  the  growth  and development  of  MSME  Sector  in  the  country  through  its  ongoing  regular  schemes  and programmes which include Prime Minister's Employment Generation programme (PMEGP),  Scheme  of  Fund  for  Regeneration  of  Traditional  Industries  (SFURTI),  A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE), Credit Guarantee Scheme for Micro and Small Enterprises, Micro and Small Enterprises Cluster Development Programme (MSE-CDP), etc.

(c)  &  (d):            National  Small  Industries  Corporation  Limited  has  conducted  an  on-line survey  in  August  2020,  covering  around  5,774  MSMEs  in  32  States/UTs  to  assess  the impact  of  COVID-19  Pandemic  on  MSMEs.  It  was  found  in  the  said  survey  that  91 percent MSMEs were functional and 9 percent MSMEs had closed down due to the impact of COVID-19.

(e): The Reserve Bank of India has informed that state-wise data on NPA in MSME sector is not available with them. Bank-group wise NPA data for quarters ending March, 2021; June, 2021 and September, 2021, is given below in the table:

| Period ended    | Public Sector Banks   | Private Banks   | Foreign Banks   | SCBs        |
|-----------------|-----------------------|-----------------|-----------------|-------------|
| March, 2021     | 14.93%                | 4.24%           | 2.52%           | 10.01%      |
| June, 2021      | 15.67%                | 4.23%           | 3.53%           | 10.45%      |
| September, 2021 | 15.24%                | 3.48%           | 2.89%           | 9.56%       |
| Source: RBI     | Source: RBI           | Source: RBI     | Source: RBI     | Source: RBI |

(f): As  reported  by  the  Department  of  Financial  Services,  Ministry  of  Finance,  the State-wise  details  of  outstanding  MUDRA  loans  from  08.04.2015  to  26.11.2021  is  at Annexure-I. The details of total disbursed amount, outstanding amount and NPA amount as on March, 2020 and March, 2021 are given in the table below:

|                                                               | Total Disbursed Amount ( Rs. in Crore)                        | Total Outstanding Amount ( Rs. in Crore)                      | Total NPA Amount ( Rs. in Crore)                              |
|---------------------------------------------------------------|---------------------------------------------------------------|---------------------------------------------------------------|---------------------------------------------------------------|
| 31.03.2020                                                    | 10,28,879.98                                                  | 3,91,285.03                                                   | 26,078.43                                                     |
| 31.03.2021                                                    | 9,43,072.31                                                   | 2,96,872.81                                                   | 34,090.34*                                                    |
| Source: Department of Financial Services, Ministry of Finance | Source: Department of Financial Services, Ministry of Finance | Source: Department of Financial Services, Ministry of Finance | Source: Department of Financial Services, Ministry of Finance |

* Provisional

(g) & (h): In  order  to  support  the  stressed  MSMEs,  the  Reserve  Bank  of  India,  from time to time, issues circulars for restructuring of loans for viable MSMEs. The number of accounts restructured and the amount involved is given in Annexure II. In addition to this, loans  amounting  to  Rs  2.82  lakh  crore  have  been  sanctioned  to  businesses  including MSMEs under  Emergency  Credit  Line  Guarantee  Scheme,  to  enable  them  to  meet  the operational liabilities and resume business in view of the distressed caused  by Covid-19 crises.  Under  this  scheme,  around  89  percent  of  the  total  beneficiaries  are  Micro Enterprises.

In  order  to  revive  the  MSMEs  with  stressed  accounts,  the  Government  has announced  the  Credit  Guarantee  Scheme  for  Subordinate  Debt  (CGSSD).  Under  this scheme, promoters of stressed MSMEs viz. SMA-2 and NPA accounts which are eligible for restructuring as per RBI guidelines on the books of the Lending institutions, will be provided  with  credit  facilities  to  be  covered  under  guarantee  by  the  CGTMSE.  The promoters will infuse the funds for revival of such Units. As on 02.12.2021, the guarantee of Rs. 81.58 Crore has been extended to 755 units. The state-wise details are attached in Annexure-III.

*******

| 16.12.2021   | 16.12.2021                            | 16.12.2021       | 16.12.2021                                                  |
|--------------|---------------------------------------|------------------|-------------------------------------------------------------|
| Sr. No       | State Name                            | Cumulative (From | Amount Rs. in Crore 08.04.2015 to 26.11.2021) Disbursed Amt |
| 1.           | Andaman and Nicobar Islands           | 727.67           | 708.93                                                      |
| 2.           | Andhra Pradesh                        | 62,927.88        | 59,842.69                                                   |
| 3.           | Arunachal Pradesh                     | 760.21           | 728.97                                                      |
| 4.           | Assam                                 | 40,351.55        | 39,279.45                                                   |
| 5.           | Bihar                                 | 1,27,717.71      | 1,21,284.85                                                 |
| 6.           | Chandigarh                            | 2,255.09         | 2,175.18                                                    |
| 7.           | Chhattisgarh                          | 32,514.92        | 30,925.04                                                   |
| 8.           | Dadra and Nagar Haveli &Daman and Diu | 371.02           | 349.52                                                      |
| 9.           | Delhi                                 | 27,259.67        | 26,560.48                                                   |
| 10.          | Goa                                   | 3,061.31         | 2,881.05                                                    |
| 11.          | Gujarat                               | 68,884.46        | 67,641.68                                                   |
| 12.          | Haryana                               | 39,174.88        | 37,871.04                                                   |
| 13.          | Himachal Pradesh                      | 12,410.53        | 11,574.76                                                   |
| 14.          | Jharkhand                             | 39,956.74        | 38,574.55                                                   |
| 15.          | Karnataka                             | 1,59,774.17      | 1,56,389.24                                                 |
| 16.          | Kerala                                | 62,606.26        | 61,406.88                                                   |
| 17.          | Lakshadweep                           | 73.23            | 65.33                                                       |
| 18.          | Madhya Pradesh                        | 96,706.63        | 93,210.11                                                   |
| 19.          | Maharashtra                           | 1,44,685.32      | 1,41,228.45                                                 |
| 20.          | Manipur                               | 1,867.54         | 1,746.91                                                    |
| 21.          | Meghalaya                             | 1,602.37         | 1,559.36                                                    |
| 22.          | Mizoram                               | 1,108.21         | 1,016.81                                                    |
| 23.          | Nagaland                              | 1,030.97         | 949.53                                                      |
| 24.          | Odisha                                | 79,868.66        | 77,454.48                                                   |
| 25.          | Pondicherry                           | 4,743.97         | 4,669.13                                                    |
| 26.          | Punjab                                | 43,505.66        | 41,963.46                                                   |
| 27.          | Rajasthan                             | 92,959.49        | 90,828.66                                                   |
| 28.          | Sikkim                                | 922.25           | 886.36                                                      |
| 29.          | Tamil Nadu                            | 1,73,432.48      | 1,70,945.21                                                 |
| 30.          | Telangana                             | 40,357.59        | 39,463.71                                                   |
| 31.          | Tripura                               | 9,119.38         | 8,872.21                                                    |
| 32.          | Union Territory of Jammu and Kashmir  | 21,096.94        | 20,472.78                                                   |
| 33.          | Union Territory of Ladakh             | 936.45           | 918.30                                                      |
| 34.          | Uttar Pradesh                         | 1,51,059.88      | 1,44,746.42                                                 |
| 35.          | Uttarakhand                           | 16,712.85        | 16,067.42                                                   |
| 36.          | West Bengal                           | 1,38,336.25      | 1,34,960.42                                                 |
| 36.          | Total                                 | 17,00,880.19     | 16,50,219.37                                                |

Annexure II

| Annexure II as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021   | Annexure II as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021   | Annexure II as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021   | Annexure II as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021   | Annexure II as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021   |
|------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------|
| Restructuring of MSMEadvances for Scheduled Commercial Banks                                               | Restructuring of MSMEadvances for Scheduled Commercial Banks                                               | Restructuring of MSMEadvances for Scheduled Commercial Banks                                               | Restructuring of MSMEadvances for Scheduled Commercial Banks                                               | Restructuring of MSMEadvances for Scheduled Commercial Banks                                               |
| RBI Circular Details                                                                                       | Time Frame                                                                                                 | No. of accounts restructured                                                                               | Amount (in Rs. Crore)                                                                                      | %of Eligible Accounts restructured                                                                         |
| RBI Circular dated 11.02.2020                                                                              | February, 2020 to December 2020                                                                            | 1,45,842                                                                                                   | 7,224.15                                                                                                   | 9.29                                                                                                       |
| RBI Circular dated 06.08.2020                                                                              | August 2020 to March 2021                                                                                  | 8,43,761                                                                                                   | 29,276.69                                                                                                  | 7.19                                                                                                       |
| RBI Circular dated 04.06.2021                                                                              | May 2021-September 2021                                                                                    | 7,40,602                                                                                                   | 43,002.91                                                                                                  | 5.31                                                                                                       |
| Source- RBI                                                                                                | Source- RBI                                                                                                | Source- RBI                                                                                                | Source- RBI                                                                                                | Source- RBI                                                                                                |

| Annexure III as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021 STATE WISE GUARANTEE COVERAGE UNDER CGSSD - CUMULATIVE AS ON   | Annexure III as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021 STATE WISE GUARANTEE COVERAGE UNDER CGSSD - CUMULATIVE AS ON   | Annexure III as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021 STATE WISE GUARANTEE COVERAGE UNDER CGSSD - CUMULATIVE AS ON   | Annexure III as referred to in Lok Sabha Starred Question no. *262 part (g) & (h) for reply on 16.12.2021 STATE WISE GUARANTEE COVERAGE UNDER CGSSD - CUMULATIVE AS ON   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 02.12.2021                                                                                                                                                               | 02.12.2021                                                                                                                                                               | 02.12.2021                                                                                                                                                               | 02.12.2021                                                                                                                                                               |
| SR. NO.                                                                                                                                                                  | STATE NAME                                                                                                                                                               | NO. OF GUARANTEES APPROVED                                                                                                                                               | AMOUNTOFGUARANTEES APPROVED (RS. IN LAKHS)                                                                                                                               |
| 1                                                                                                                                                                        | ANDAMAN&NICOBAR                                                                                                                                                          | 1                                                                                                                                                                        | 3.50                                                                                                                                                                     |
| 2                                                                                                                                                                        | ANDHRA PRADESH                                                                                                                                                           | 30                                                                                                                                                                       | 418.25                                                                                                                                                                   |
| 3                                                                                                                                                                        | ARUNACHAL PRADESH                                                                                                                                                        | 1                                                                                                                                                                        | 36.00                                                                                                                                                                    |
| 4                                                                                                                                                                        | ASSAM                                                                                                                                                                    | 9                                                                                                                                                                        | 125.15                                                                                                                                                                   |
| 5                                                                                                                                                                        | BIHAR                                                                                                                                                                    | 18                                                                                                                                                                       | 59.00                                                                                                                                                                    |
| 6                                                                                                                                                                        | CHANDIGARH                                                                                                                                                               | 7                                                                                                                                                                        | 59.56                                                                                                                                                                    |
| 7                                                                                                                                                                        | CHHATTISGARH                                                                                                                                                             | 11                                                                                                                                                                       | 54.40                                                                                                                                                                    |
| 8                                                                                                                                                                        | DAMAN &DIU                                                                                                                                                               | 2                                                                                                                                                                        | 14.00                                                                                                                                                                    |
| 9                                                                                                                                                                        | DELHI                                                                                                                                                                    | 21                                                                                                                                                                       | 339.91                                                                                                                                                                   |
| 10                                                                                                                                                                       | GUJARAT                                                                                                                                                                  | 24                                                                                                                                                                       | 241.54                                                                                                                                                                   |
| 11                                                                                                                                                                       | HARYANA                                                                                                                                                                  | 6                                                                                                                                                                        | 93.83                                                                                                                                                                    |
| 12                                                                                                                                                                       | HIMACHAL PRADESH                                                                                                                                                         | 18                                                                                                                                                                       | 150.59                                                                                                                                                                   |
| 13                                                                                                                                                                       | JAMMU &KASHMIR                                                                                                                                                           | 26                                                                                                                                                                       | 142.46                                                                                                                                                                   |
| 14                                                                                                                                                                       | JHARKHAND                                                                                                                                                                | 21                                                                                                                                                                       | 166.79                                                                                                                                                                   |
| 15                                                                                                                                                                       | KARNATAKA                                                                                                                                                                | 47                                                                                                                                                                       | 878.88                                                                                                                                                                   |
| 16                                                                                                                                                                       | KERALA                                                                                                                                                                   | 27                                                                                                                                                                       | 384.04                                                                                                                                                                   |
| 17                                                                                                                                                                       | MADHYA PRADESH                                                                                                                                                           | 42                                                                                                                                                                       | 366.29                                                                                                                                                                   |
| 18                                                                                                                                                                       | MAHARASHTRA                                                                                                                                                              | 79                                                                                                                                                                       | 995.19                                                                                                                                                                   |
| 19                                                                                                                                                                       | MIZORAM                                                                                                                                                                  | 2                                                                                                                                                                        | 1.27                                                                                                                                                                     |
| 20                                                                                                                                                                       | ODISHA                                                                                                                                                                   | 39                                                                                                                                                                       | 142.39                                                                                                                                                                   |
| 21                                                                                                                                                                       | PUNJAB                                                                                                                                                                   | 78                                                                                                                                                                       | 810.28                                                                                                                                                                   |
| 22                                                                                                                                                                       | RAJASTHAN                                                                                                                                                                | 28                                                                                                                                                                       | 177.80                                                                                                                                                                   |
| 23                                                                                                                                                                       | TAMILNADU                                                                                                                                                                | 88                                                                                                                                                                       | 1,102.38                                                                                                                                                                 |
| 24                                                                                                                                                                       | TELANGANA                                                                                                                                                                | 31                                                                                                                                                                       | 447.13                                                                                                                                                                   |
| 25                                                                                                                                                                       | UTTAR PRADESH                                                                                                                                                            | 61                                                                                                                                                                       | 591.53                                                                                                                                                                   |
| 26                                                                                                                                                                       | UTTARAKHAND                                                                                                                                                              | 13                                                                                                                                                                       | 150.13                                                                                                                                                                   |
| 27                                                                                                                                                                       | WEST BENGAL                                                                                                                                                              | 25                                                                                                                                                                       | 205.66                                                                                                                                                                   |
| Total                                                                                                                                                                    | Total                                                                                                                                                                    | 755                                                                                                                                                                      | 8157.92                                                                                                                                                                  |