Get loans up to Rs 1 crore in 59 minutes: PM ‘Diwali gift’ for MSMEs

Staff Reporter / New Delhi

Prime Minister Narendra Modi on Friday announced that loans of up to Rs 1 crore will be sanctioned in 59 minutes through a special portal as part of the Centre’s Micro, Small and Medium Enterprises (MSME) Support and Outreach programme.

“I dedicate the 59-minute loan approval portal to you. All GST-registered small and medium enterprises can now avail a loan of up to Rs 1 crore in just 59 minutes,” PM Modi said while addressing the crowd at the launch of the programme at Vigyan Bhavan in the national capital.

“Also, GST-registered MSMEs will get two per cent interest subvention or rebate on an incremental loan of up to Rs 1 crore,” the prime minister said.

PM @narendramodi addressing at the launch of Support and Outreach Initiative for MSMEs at Vigyan Bhawan in New Delhi. pic.twitter.com/4nARCXZaTz

— PIB India (@PIB_India) November 2, 2018

The programme was announced as part of a slew of measures by the Centre to give a boost to the country’s second largest employing sector.

Besides this, the government, the PM said, has decided to increase interest subvention on pre and post-shipment credit from three to five per cent. “Interest subvention on pre and post shipment credit for exports by MSMEs has been increased from three per cent to five per cent,” he said.

Modi also announced that inspections of factories in the sector will be sanctioned only through a computerised random allotment and inspectors will have to upload reports on the portal within 48 hours. “No inspector can now go anywhere. He will be asked why he went to a factory,” he said.