Lok Sabha Question No. 1450 (UNSTARRED), answered on 2022-12-15
Subject: Utilisation of Funds
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Ramapati Ram Tripathi, Brijbhushan Sharan Singh, Pratap Chandra Sarangi, Sangamlal Kadedin Gupta

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

## LOK  SABHA UNSTARRED QUESTION NO. 1450 TO BE ANSWERED ON 15.12.2022

## UTILISATION OF FUNDS

1450:   DR. RAMAPATI RAM TRIPATHI: SHRI BRIJBHUSHAN SHARAN SINGH: SHRI PRATAP CHANDRA SARANGI: SHRI SANGAM LAL GUPTA:

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

- (a) whether  the  Ministry  would  be  able  to  ascertain  the  reasons  behind  high  levels  of under-utilisation  of  funds  allocated  for  the  development  of  Micro,  Small  and  Medium Enterprises (MSMEs) through schemes and programmes for development of MSMEs and if so, the details thereof;
- (b) the  details  of  the  schemes  under  the  Ministry  which  have  observed  high  levels  of underspending between 2020-21 and 2021-22; and
- (c) whether  the  Government  has  taken  measures  to  ensure  proper  utilization  of  funds earmarked for the growth of MSME in the country and if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDMUM ENTERPRISES (SHRI BHANU PRATAP SINGH VERMA)

- (a) & (b): The Ministry of MSME has been implementing several schemes/programmes for development of Micro, Small and Medium Enterprises (MSMEs) in the country. Details of the schemes implemented by the Ministry for which 100% funds have not been utilized for the years 2020-21 and 2021-22, are given in Annexure-I and Annexure-II respectively. The reasons for under-utilization of funds are Covid Pandemic, exercise for SFC/EFC for the 15 th Finance  Cycle,  non-receipt  of  viable  proposals,  unspent  balance  lying  with  implementing agencies  and  non-participation  in  various  national/international  events/programmes  due  to Covid Pandemic.
- (c): Post  pandemic  period,  sincere  efforts  are  being  made  for  complete  utilization  of allocated  budget  by  giving  wide  publicity  of  schemes  and  initiatives  through  Conclaves, Conferences, Social Media etc. Ministry has also adopted a monitoring mechanism for timely release & utilization of funds through regular periodic reviews.

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## M/o Micro Small and Medium Enterprises Statement of Under spending in the FY 2020-21

| SN   | Name of Schemes                                                          | 2020-21    | 2020-21        | 2020-21            |
|------|--------------------------------------------------------------------------|------------|----------------|--------------------|
|      |                                                                          | RE 2020-21 | Actual 2020-21 | %of utilized funds |
| 1.   | Procurement and Marketing Support Scheme                                 | 13.51      | 12.69          | 93.93              |
| 2.   | International Cooperation Scheme                                         | 1.90       | 1.80           | 94.74              |
| 3.   | Promotional Services Institutions & Programmes                           | 135.64     | 130.40         | 96.14              |
| 4.   | Cluster Development Programme                                            | 156.50     | 116.28         | 74.30              |
| 5.   | Tool Rooms &Tech. Institutions                                           | 254.00     | 249.00         | 98.03              |
| 6.   | Infrastructure Support to MSME- TCs/TSs/DIs/Workshops                    | 25.00      | 7.52           | 30.08              |
| 7.   | Database Research Evaluation and other Office Support Programme Research | 1.31       | 1.21           | 92.37              |

## Annexure-I

(Rs. in crore)

## Annexure-II

## M/o Micro Small and Medium Enterprises Statement of Under spending in the FY 2021-22

(Rs. in crore)

| S. No.   | Name of Schemes                                                    | 2021-22    | 2021-22        | 2021-22              |
|----------|--------------------------------------------------------------------|------------|----------------|----------------------|
| S. No.   | Name of Schemes                                                    | RE 2021-22 | Actual 2021-22 | %of unutilized funds |
| 1.       | Solar Charkha Mission                                              | 5.04       | 0.00           | 0.00                 |
| 2.       | ASPIRE (Promotion of Innovation, Rural Industry &Entrepreneurship) | 10.00      | 8.64           | 57.60                |
| 3.       | Credit Linked Capital Subsidy and Technology Upgradation Scheme    | 170.25     | 112.61         | 35.71                |
| 4.       | Distressed Asset Fund-(New Scheme)                                 | 1.00       | 0.00           | 0.00                 |
| 5.       | Interest Subvention Scheme for Incremental Credit to MSMEs         | 0.04       | 0.00           | 0.00                 |
| 6.       | Procurement and Marketing Support Scheme                           | 18.00      | 5.17           | 20.68                |
| 7.       | International Cooporation Scheme                                   | 10.00      | 3.25           | 21.67                |
| 8.       | Promotional Services Institutions & Programmes                     | 140.74     | 130.64         | 73.93                |
| 9.       | Information, Education and Communication                           | 4.50       | 2.96           | 44.05                |
| 10.      | Cluster Development Prgramme                                       | 156.60     | 138.72         | 88.58                |
| 11.      | Tool Rooms &Tech. Institutions                                     | 110.00     | 70.09          | 22.61                |
| 12.      | Infrastructure Support to MSME- TCs/TSs/DIs/Workshops              | 21.03      | 15.02          | 71.42                |
| 13.      | Establishment of New Technology Centres                            | 43.10      | 24.58          | 8.19                 |
| 14.      | Fund of Funds                                                      | 350.00     | 180.35         | 51.53                |
| 15.      | Infrastructure Development and Capacity Building-EAP               | 205.00     | 144.76         | 51.70                |
| 16.      | Capital Outlay on Public Works                                     | 14.20      | 12.22          | 61.10                |
| 17.      | Raising and Accelerating MSMEs Performance (RAMP)                  | 0.03       | 0.00           | 0.00                 |
| 18.      | National Scheduled Cast/Scheduled Tribe Hub Centre                 | 120.00     | 101.87         | 67.91                |