Rs 1 crore loan in just 59 minutes! Good news for MSMEs as PM Modi announces incentives

In a good news for all GST-registered small and medium enterprises (MSMEs), they can now avail a loan of up to Rs 1 crore in just 59 minutes.

PM also said GST-registered MSMEs will get 2 percent interest subvention or rebate on an incremental loan of up to Rs 1 crore. (ANI)

New Delhi: In a good news for all GST-registered MSMEs, they can now avail a loan of up to Rs 1 crore in just 59 minutes. A week ahead Diwali, Prime Minister Narendra Modi on Friday announced a slew of measures for small and medium enterprises (MSMEs) which included incentives such as sanction of loans of up to Rs 1 crore to MSMEs in 59 minutes through a special portal to give a boost to the nation's second-biggest employing sector. "I dedicate 59-minute loan approval portal to you & it has started benefiting the MSMEs businessmen already," PM said. Announcing the measures, PM also said GST-registered MSMEs will get 2 percent interest subvention or rebate on an incremental loan of up to Rs 1 crore.

I dedicate 59 minute loan approval portal to you & it has started benefiting the MSMEs businessmen already: PM Modi at the launch event of the Union Government’s Support and Outreach Initiative for Micro, Small and Medium Enterprises (MSMEs). pic.twitter.com/vPnhHBlL4p

— ANI (@ANI) November 2, 2018

Besides, interest subvention on pre and post shipment credit for exports by MSMEs has been increased from 3 per cent to 5 per cent. "The government has decided to increase interest subvention on pre and post shipment credit from 3% to 5%," PM Modi said at the launch event of the Union Government’s Support and Outreach Initiative for Micro, Small and Medium Enterprises (MSMEs). In all 12 decisions, which he termed as "historic", were announced to boost MSMEs. Talking of India jumping 23 places on World Bank's latest 'Ease of Doing Business' ranking, Modi said in four years his government has achieved what many did not believe and achieved what no other nation in the world has done - leaping from 142 rank in 2014 to 77th rank.

12 major decisions taken by Central govt for MSMEs Sector are proof that when after breaking Silos, collective initiatives are taken, collective responsibilities are fulfilled, & collective decisions are taken, it creates a comprehensive impact: PM Narendra Modi pic.twitter.com/16ykLaBQMY

— ANI (@ANI) November 2, 2018

Breaking into top 50 rank is not far away, he said. Reform of processes will help small and medium enterprises (MSMEs), he added.