The government has decided to bring retail and wholesale business under the purview of MSME. 2.5 crore small traders will benefit from this. With this decision, banks will give the benefit of priority sector lending to the retail traders.
Now retailers will also get all the benefits that MSME gets.
Industry organizations have termed the government’s decision to bring retail and wholesale trade under the purview of Micro, Small and Medium Enterprises (MSMEs). It says that with this, priority sector lending from banks and financial institutions will also be available to retail and wholesale business.
In the day on Friday, Union MSME Minister Nitin Gadkari announced to bring retail and wholesale trade under MSME. With this, this sector will be able to take advantage of loans under the priority category of banks as per the guidelines of the Reserve Bank. Describing this as a historic decision, industry organizations said that this would give relief to the business sector facing difficulties due to the epidemic.
Keeping in mind the impact on retail and wholesale traders due to the second wave of COVID, it has now been decided to bring it under the purview of MSME. Efforts are being made to provide financial assistance by bringing this sector under Priority Sector Lending. has been #MSMEGrowthEngineOfIndia
— Nitin Gadkari (@nitin_gadkari) July 2, 2021
The Retailers Association of India (RAI) said that this will provide the necessary support to the retail micro, small and medium enterprises (MSMEs) for their rescue, revival and growth. RAI Chief Executive Officer (CEO) Kumar Rajagopalan said, “This historic decision will have a structural impact on the sector. This will provide better finance options to the sector so that it can be organized.
Our government has taken a landmark step of including retail and wholesale trade as MSME. This will help crores of our traders get easier finance, various other benefits and also help boost their business.
We are committed to empowering our traders. https://t.co/FTdmFpaOaU
— Narendra Modi (@narendramodi) July 3, 2021
The Confederation of All India Traders (CAIT) said that after this decision, traders will come under the category of MSMEs and they will be helped in raising priority sector loans from banks and financial institutions. CAIT National President BC Bhartia and General Secretary Praveen Khandelwal said that apart from this, traders will be able to get the benefits of various other government schemes, which MSME category has been getting.
Now retail and wholesale traders will also be able to register enterprises, more than 2.5 crore traders will get the benefit of this. Prime Minister arenarendramodi Under Ji’s leadership, we are committed to make MSME the engine of economic growth of the country. #MSMEGrowthEngineOfIndia⁰ #AatmanirbharBharat
— Nitin Gadkari (@nitin_gadkari) July 2, 2021
He said that due to this, traders affected by the epidemic will be able to restore their business by raising necessary funds from banks. In a tweet on Friday, Gadkari said that the government is committed to strengthen MSMEs and make them engines of growth. The revised guidelines will benefit 2.5 crore retail and wholesale traders. With this they will also be able to register on the enterprise portal.
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