Lok Sabha Question No. 2690 (UNSTARRED), answered on 2023-03-16
Subject: Bank Credit/Loan to MSMEs
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Balubhau (Alias Suresh Narayan) Dhanorkar, P.R. Natarajan

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

## LOK SABHA UNSTARRED QUESTION NO. 2690 TO BE ANSWERED ON 16.03.2023

## BANK CREDIT/LOAN TO MSMEs

2690.

SHRI BALUBHAU ALIAS SURESH NARAYAN DHANORKAR: SHRI NATARAJAN P.R.:

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

- (a) the details of bank credit/loan to the Micro, Small and Medium Enterprises (MSMEs) during the last eight years from Financial Year 2014-15 to Financial Year 2022-23, year-wise;
- (b) whether the real growth in bank credit to the MSME sector has dropped from November 201314 to 2022-23;
- (c) if so, the details thereof, year-wise along with the reasons therefor; and
- (d) the steps being taken by the Government to increase the loan credit to MSMEs?

## ANSWER

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

- (a): The details of bank credit/loan to the Micro, Small and Medium Enterprises (MSMEs) during the last eight years from Financial Year 2014-15 to Financial Year 2022-23, year-wise are at Annexure- I.
- (b) to (c): As  reported  by  RBI,  credit  outstanding  to  MSME  sector  by  Scheduled  Commercial Banks  (in absolute terms) in March 2021-22 over March 2013-14 grew by 93.4%.
- (d): The Government has taken a number of measures for increasing access to credit for MSMEs, including  the  launch  of  Rs.  5  lakh  crore  Emergency  Credit  Line  Guarantee  Scheme  (ECLGS)  for businesses, including MSMEs in 2020; and Budget 2023-24 announcement for infusing Rs. 9,000 crore in the corpus of CGTMSE to enable an additional credit of Rs. 2 lakh crore with reduced cost of the credit.

***

Annexure is referred to part (a) of Lok Sabha Unstarred Question no.  2690 due for reply on 16.03.2023

Credit outstanding to MSME Sector by Scheduled Commercial Banks during the last 8 years

Segment-wise

Annexure - I

No of Accounts in lakh, Amount outstanding in ₹ crore

| Year/ Quarter ended   | Micro Enterprises   | Micro Enterprises   | Small Enterprises   | Small Enterprises   | Medium Enterprises   | Medium Enterprises   | TotalMSME   | TotalMSME    |
|-----------------------|---------------------|---------------------|---------------------|---------------------|----------------------|----------------------|-------------|--------------|
| Year/ Quarter ended   | No. of A/cs         | Amt. O/s            | No. of A/cs         | Amt. O/s            | No. of A/cs          | Amt. O/s             | No. of A/cs | Amt. O/s     |
| March 2015            | 120.19              | 4,23,763.62         | 18.03               | 5,37,410.55         | 0.92                 | 2,09,851.88          | 139.14      | 11,71,026.05 |
| March 2016            | 186.80              | 4,83,496.60         | 17.25               | 5,12,928.34         | 1.05                 | 2,19,582.17          | 205.11      | 12,16,007.11 |
| March 2017            | 213.25              | 5,29,519.42         | 18.80               | 5,40,610.05         | 1.57                 | 2,26,269.34          | 233.62      | 12,96,398.82 |
| March 2018            | 228.97              | 5,66,137.92         | 30.67               | 5,83,215.90         | 1.90                 | 1,74,885.52          | 261.54      | 13,24,239.34 |
| March 2019            | 295.05              | 6,75,200.50         | 23.03               | 6,38,030.79         | 2.60                 | 1,97,419.22          | 320.68      | 15,10,650.52 |
| March 2020            | 353.02              | 7,46,043.67         | 27.62               | 6,67,734.90         | 3.54                 | 1,99,803.60          | 384.18      | 16,13,582.17 |
| March 2021            | 387.93              | 8,21,027.77         | 27.82               | 6,62,998.50         | 4.44                 | 2,99,898.53          | 420.19      | 17,83,924.80 |
| March 2022            | 239.58              | 8,82,693.58         | 21.88               | 7,22,274.25         | 3.22                 | 4,06,089.15          | 264.67      | 20,11,056.98 |

Source : Priority Sector Returns submitted by SCBs