PSBs asked to extend MSME outreach programme
The Department of Financial Services (DFS) has written to all public sector banks (PSBs) to extend the MSME (micro, small & medium enterprises) outreach programme, initiated by the Prime Minister last year to assess the credit availability and problems faced by the sector.
"A CGM or GM level officer may be specifically asked to do in-depth analysis of progress made and issues in availability of credit, still being faced by the MSMEs," stated a DFS office memorandum.
The memo, marked to the State Bank of India (SBI) Chairman and the Managing Directors (MDs) as well as the MDs and the Chief Executive Officers (CEOs) of other PSBs, read, "the analysis should have information on details of MSMEs taking loans from banks, their NPA accounts, details of MSME accounts where restructuring and resolution have been done as per the Reserve Bank of India (RBI) circular of January 1, 2019 and details of covered MSMEs".
The memorandum said the MSMEs contributed significantly to the country's gross domestic product (GDP), exports, industrial output and employment generation. During the past few years, the sector had been facing constraints on several fronts, stated the communication. IANS