Lok Sabha Question No. 3035 (UNSTARRED), answered on 2022-08-04
Subject: Financial Assistance for Revival of MSMEs
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Anurag Sharma, D. M. Kathir Anand

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 3035 TO BE ANSWERED ON 04.08.2022

## FINANCIAL ASSISTANCE FOR REVIVAL OF MSMEs

3035. SHRI ANURAG SHARMA: SHRI D.M. KATHIR ANAND:

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

(a) whether the Government has provided any financial assistance for the revival of MSMEs in Tamil Nadu and Uttar Pradesh;

(b) if so, the details thereof and the funds allocated during the last three years;

(c) the measures taken or to be taken by the Government to protect the interests of the both employer and employees of MSME sector;

(d) whether it is fact that millions of people employed in MSME sector have lost their jobs during the Covid pandemic; and

(e) if so, the details thereof and the steps taken by the Union Government to provide fresh jobs to the people  who were rendered jobless during Covid pandemic?

## ANSWER

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

(a) to (c): The  Government  has  taken  a  number  of  recent  initiatives  vide  programmes, schemes and declarations under Aatmanirbhar Bharat Abhiyan and Union Budget announcements,  which  inter  alia  include  mitigating  the  negative  impact  of  COVID-19  for Micro, Small and Medium Enterprises (MSMEs) in the country, including Tamil Nadu and Uttar Pradesh. Some initiatives for financial assistance include the following:

- (i)  Rs. 4.5 lakh crore Collateral free Automatic Loans under Guaranteed Emergency Credit Line  (GECL)/Emergency  Credit  Line  Guarantee  Scheme  (ECLGS)  for  businesses, including  MSMEs  (now  enhanced  to  Rs.  5  lakh  crore  and  extended  till  31.03.2023) (Implemented by DFS);
- (ii)  Credit Guarantee Scheme for Subordinate Debt (CGSSD); and
- (iii) Equity infusion through Self Reliant India Fund (SRI Fund).

Additionally,  during  the  pandemic  period,  MSMEs  have  also  been  supported  by  the ongoing financial assistance schemes of this Ministry i.e.

- (i)    Prime  Minister's  Employment  Generation  Programme  (PMEGP)  which  is  a  major credit-linked subsidy programme aimed at generating self-employment; and
- (ii) Credit Guarantee Scheme (CGS) to strengthen credit delivery system and to facilitate the flow of credit to the Micro and Small Enterprise sector without the hassles of collateral and third party guarantee.

All the schemes implemented by the Ministry of MSME are Central Sector Schemes & funds are not allocated State /UT wise.  Details of the above schemes for Tamil Nadu and Uttar Pradesh are annexed.

In the Union Budget 2022 the Government has also announced that Ministry of MSME's Udyam  portal  will  be  linked  to  Ministry  of  Labour  &  Employment's  e-Shram  and  National Career  Service  (NCS)  portals  and  Ministry  of  Skill  Development  &  Entrepreneurship's Aatmanirbhar Skilled Employee Employer Mapping (ASEEM) portals are being interlinked.

(d) & (e): As  informed  by  Directorate  General  of  employment,  Ministry  of  Labour  & Employment, Aatmanirbhar Bharat Rojgar Yojana (ABRY) has been launched in October, 2020 as  part  of  Aatmanirbhar  Bharat  package  3.0  to  incentivize  employers  for  creation  of  new employment along with  social security  benefits  and  restoration  of  loss  of  employment  during Covid-19  pandemic.  The  scheme  being  implemented  through  the  Employees  Provident  Fund Organisation (EPFO), seeks to reduce the financial burden of the employers including MSME sector  and  encourages  them  to  hire  more  workers.  The  terminal  date  for  registration  was 31.03.2022.

***

Annexure  referred  to  part  (a)to(c)  of  the  Lok  Sabha  Unstarred  Question  No.  3035  for answer on 04.08.2022.

| Sl. no   | Name of Scheme                                            | Tamil Nadu                                                | Tamil Nadu                                                | Tamil Nadu                                                | Uttar Pradesh                                             | Uttar Pradesh                                             | Uttar Pradesh                                             |
|----------|-----------------------------------------------------------|-----------------------------------------------------------|-----------------------------------------------------------|-----------------------------------------------------------|-----------------------------------------------------------|-----------------------------------------------------------|-----------------------------------------------------------|
| Sl. no   | Name of Scheme                                            | 2019-20 (In Rs. Crore)                                    | 2020-21 (In Rs. Crore)                                    | 2021-22 (In Rs. Crore)                                    | 2019-20 (In Rs. Crore)                                    | 2020-21 (In Rs. Crore)                                    | 2021-22 (In Rs. Crore)                                    |
| 1.       | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  | Guaranteed Emergency Credit Line (GECL):                  |
|          | No. of guarantees issues to MSMEs                         | Not Applicable                                            | 6,19,047                                                  | 2,42,292                                                  | Not Applicable                                            | 6,21,247                                                  | 1,60,996                                                  |
|          | Loan Amount guaranteed (in Rs. Crore)                     | Not Applicable                                            | 17506.58                                                  | 7,330.67                                                  | Not Applicable                                            | 11,495.67                                                 | 4,272.70                                                  |
| 2.       | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     | Credit Guarantee Scheme for Subordinate Debt (CGSSD):     |
|          | No. of guarantees issued                                  | Not Applicable                                            | 74                                                        | 15                                                        | Not Applicable                                            | 37                                                        | 24                                                        |
|          | Approved guarantees amount (In Rs. Crore)                 | Not Applicable                                            | 9.10                                                      | 2.45                                                      | Not Applicable                                            | 3.81                                                      | 2.11                                                      |
| 3.       | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): | Prime Minister's Employment Generation Programme (PMEGP): |
|          | Micro unit assisted                                       | 5,172                                                     | 5,188                                                     | 5,972                                                     | 6,120                                                     | 9,994                                                     | 12,594                                                    |
|          | Margin Money disbursed (In Rs. Crore)                     | 123.48                                                    | 138.82                                                    | 164.45                                                    | 216.52                                                    | 329.85                                                    | 411.65                                                    |
| 4.       | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            | Credit Guarantee Scheme (CGS):                            |
|          | No. of Guarantees issued                                  | 89,725                                                    | 61,535                                                    | 44,897                                                    | 89,271                                                    | 78,655                                                    | 86,616                                                    |
|          | Amount of Guarantees (In Rs. Crore)                       | 4,352.82                                                  | 3,343.95                                                  | 4,133.60                                                  | 4,154.02                                                  | 3,726.70                                                  | 5,628.12                                                  |

Source:

- i)  ECLGS - DFS, M/o Finance.
2. ii) CGSSD & CGS - CGTMSE, Mumbai.
3. iii) PMEGP- KVIC, Mumbai.