Turn crisis into opportunity
Minister for Road Transport & Highways and MSMEs Nitin Gadkari is striving to increase credit gaurantee to Micro, Small and Medium Enterprises (MSMEs) to Rs.5 lakh crore from the present level of about Rs.1 lakh crore.
He assured that 75% of the advances granted by financial institutions to the industry are gauranteed by the Government’s under the Credit Gauranttee Scheme.
He underlined the assurance as part of the Government’s full cooperation in restarting their enterprises after the lockdown is lifted post COVID-19.
Interacting with FICCI representatives on a web-based seminar on 14 Apr 2020, the Minister informed them about the various financial decisions taken by the government in this direction.
The Reserve Bank of India has also allowed rescheduling of term loans and working capital facilities, he added.
He assured that the issues raised by the industry especially by MSMEs will be taken up discussed with relevant Ministries and Departments.
Gadkari called upon the industry to look upon the present crisis as challenge and opportunity especially as some countries are looking to move away their investments from China, and India can be one of the best options for them.
Speaking about the MSMEs, Gadkari said that Government is aware of their difficulties and realises their importance to the economy.
He called upon industry sector to work in tandem with Government and the banking sector. He stressed that all sectors remaining strong is in the interest of each one of them.
Dwelliing upon Road Sector, he said, the Highways construction which saw reaching record level in 2019-20, should increase pace by 2-3 times in coming years to meet growing needs of the infrastructure sector.
The Minister also informed that time taken in reaching decisions should be kept at the minimum possible to avoid delays.
In this direction, he has requested NHAI and its arbitration units to decide matters within 3 months, urging the heads of departments to extend daily working hour by two hours to 7pm.
India should convert this crisis into an opportunity, accelerate infrastructure projects and win this war against corona to achieve economic growth, stressed the Minister.
The Indian industry should look at the current situation as a blessing in disguise and aim towards improving its export potential.
Bringing in Liquidity in the market is key at this time of crisis and to ensure that, NHAI has already started the process of settling all the pending claims and arbitration. The ministry had definitive plan to clear all legitimate claims more or less within 3 months.
To kick start the path to recovery for Road sector, the ministry is open to re-start projects at various locations with the condition that adequate measures will be taken for safeguard against the spread of coronavirus.
The Ministry is working on war footing to restart project, he added. fiinews.com
