Categories: Business

Finance ministry to monitor loan disbursement to MSME says a source

Photo: GOOGLE

Finance Ministry

new Delhi. In the mid-to-long term, the Finance Ministry is confident that after the announcement of the package, economic activities will gradually pick up and good support to domestic investment in the government, amidst discussions of the government's Rs 21 lakh crore economic package not being immediate. will get. Ministry sources have indicated this. The Finance Ministry is hopeful that the loan of Rs 8 lakh crore loan sanctioned by banks will start distributing soon. This will speed up business as well as industries will come forward for investment and debt will rise. The ministry will monitor the flow of these loans

According to sources, "It is true that there is an imbalance between loan sanction and disbursement of banks." It will go away with time. There is no problem in starting economic activities. The government has prepared the package only after detailed talks with all the parties. This will support domestic investment. "According to sources, the ministry is fully focused on the implementation of the package. Sources conceded that the activities are yet to pick up momentum due to the lockdown. Due to the mass exodus of workers, it may also take time to restore activities elsewhere. He said, the migration of workers will have an impact on economic activities. For this, the states will have to coordinate and balance things.

The lockdown in the country has continued since March 25 due to the Corona virus. During this period the lockdown was increased in several phases and gradually the work of opening economic activities was started. Prime Minister Narendra Modi announced an economic package of 20 lakh crore rupees to rebuild the sluggish economy. Finance Minister Nirmala Sitharaman later detailed the package in five installments. In this, the announcement of providing emergency working capital of three lakh crore rupees for small industries and the facility of giving unsecured loans to them was announced. Initiatives were also taken to provide concessional loans of Rs 2 lakh crore to farmers under the Kisan Credit Card. Some analysts want to believe that this announcement of the government will not immediately show any effect in the economy, but in the next two-three years they will see a better effect. Sources in the Finance Ministry say that this package has been prepared only after detailed discussions with various parties including industry and trade.

This post was published on May 29, 2020 5:57 pm

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