MSME industry created 9.3 million jobs: Bhanu Pratap Singh

In a recent written reply to Rajya Sabha, Minister of State for micro, small, and medium enterprises (MSMEs), Bhanu Pratap Singh Verma said the government has taken several steps to boost the MSME industry, including the announcement of Aatma Nirbhar Bharat Abhiyan. 

The MSME ministry says it has implemented various schemes to increase employment opportunities of the sector together with Rs. 20,000 crore Subordinate Debt for MSMEs, Rs.5 lakh crore Emergency Credit Line Guarantee Scheme (ECLGS) for Businesses, among other initiatives.

According to the annexure mentioned in the reply, there are around 93,949,57 (more than 93 lakh) jobs are created across states in India in FY 20-21.

Verma says,

“COVID-19 epidemic has temporarily affected various sectors including the MSME in the country and their employment. As MSMEs are present in both the formal and informal sector, data regarding temporary or permanent loss of jobs in the MSME sector are not maintained by the government of India in the ministry of MSME.”

ALSO READ

Why raising capital remains one of the biggest challenges for women-led MSMEs

He also said that around 1,623 MSMEs closed between April 2020 to October 2021 inclusive of the tribal areas.

In the state-wise break up of persons employed in MSMEs which are registered on Udyam Portal of the Ministry and incorporated during last 5 years it shows that MSMEs based in Maharashtra created the highest employment for more than 11 lakh people in FY 20-21 followed by the states of Tamil Nadu, Uttar Pradesh, Telangana, and Karnataka.

To boost the employment opportunities, the government undertook various initiatives as it introduced schemes such as Prime Minister Employment Generation Programme (PMEGP), Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) and A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE).