MSMEs need a helping hand from banks: Palanivel Thiagarajan

CHENNAI: Finance Minister Palanivel Thiagarajan has requested banks to extend credit to Micro, Small and Medium Enterprises, through various schemes of State and Central governments, to offer them a helping hand to tide over the Covid crisis.

Pointing out that the MSME sector has been providing job opportunities to lakhs of people but they do not have the luxury of restructuring or diversifying, the Minister said, “Therefore, the MSME sector is in dire need of support from banks now. The benefits of various relief measures announced by the RBI should also reach the intended beneficiaries.”

Chairing a special meeting of the State Level Bankers Committee on Friday to discuss the need for supporting MSMEs, Thiagarajan highlighted the importance of collating data pertaining to disbursement of loans to MSMEs at more frequent intervals to better assess the impact of support extended to this sector. Chief Secretary V Irai Anbu, Finance Secretary S Krishnan, other senior officials were present.