Govt expresses concern over the need to revive 30,000 sick MSMEs in Maharashtra
There is a need to revive over 30,000 sick MSME units in Maharashtra as the sector is one of the largest contributors to the state's GDP, Industries Minister Subhash Desai said. "There are over 30,000 such sick units in the state and we want to revive them. My government's focus is to give an impetus to the MSME sector, which is the largest contributor to the state's GDP", Desai said at Maharashtra Industry Summit in Mumbai.
He said these units are shut due to various reasons, including financial, lack of technological support or internal structural issues, but there is a need to revive them as they are the backbone of the state's overall development. "Make in Maharashtra programme will not be successful till MSME sector grows. And to give a boost to it, we are trying innovative ways like bringing on board industry players, educational institutes, engineering graduates and experts in the field to assist these industries to revive their businesses", he said.
The Minister added that he will convene a meeting next week with them to find a solution for reviving the units. He urged the banks to also come forward to provide financial assistance to MSMEs. "We, along with SIDBI, have set up a Rs 200 crore venture capital fund to provide easy financing options to MSMEs. The government will contribute Rs 75 crore towards the fund", Desai said.
He added that apart from SIDBI, other nationalised banks, including SBI and IDBI, have also shown keen interest in assisting these MSMEs. Meanwhile, Maharashtra has also decided to come up with a dedicated industrial policy for MSMEs to provide them all the necessary incentives and facilities for setting up their businesses in the state.
Image Credit: Shutterstock