E-Paper
Haryana to pay fee for loans taken by MSMEs to disburse wages
The Haryana government will pay the fee of credit guarantee fund trust for micro and small enterprises (CGTMSE) for the loans taken by MSMEs to disburse employees’
The Haryana government will pay the fee of credit guarantee fund trust for micro and small enterprises (CGTMSE) for the loans taken by MSMEs to disburse employees’ salaries.
Central government and Small Industries Development Bank of India (SIDBI) had set up the trust to strengthen credit delivery system and facilitate flow of credit to the MSME sector.
Additional chief secretary (finance and planning) TVSN Prasad said that MSMEs will also not be required to give collateral or guarantee for up to ₹2 crore loan amount taken under the Haryana MSME revival interest benefit scheme.
The cabinet on May 1 had approved a scheme to support the MSME sector during the lockdown-generated economic crisis and help them pay wages to their employees.
As per the scheme, all MSME units functioning in Haryana as on or before March 15 will be eligible for 100% interest benefit on loans availed for payment of wages to employees. This interest benefit will also be available on other expenses up to a maximum of ₹20,000 per employee for a period of six months, an official said.
The state government, as per the cabinet decision, had also decided to pay up to 8% interest for six months on the loan amount taken from banks by the MSMEs.
Officials said that industrial units whose electricity tariffs for March, April and May would be half of the average of January and February would be entitled to get a 25% rebate on the fixed charge. The remaining 75% amount will have to be deposited from July to December in six equal instalments.
