A particular assembly of the State Level Bankers’ Committee, chaired by Finance Minister P.T.R. Palanivel Thiaga Rajan, was held on Friday by means of video-conference.
The authorities had requested that the assembly be held with the bankers to focus on the necessity to help micro, small and medium enterprises (MSMEs) which have been affected by COVID-19, in accordance to a launch.
Role of banks
Stressing the necessary position of banks within the economic system, Mr. Palanivel Thiaga Rajan mentioned the pandemic had disrupted the economic system and affected the lives and livelihoods of individuals working within the unorganised sector and the MSMEs to a terrific extent.
The MSMEs had been necessary to the economic system as they offered jobs to lakhs of individuals, he mentioned.
The MSMEs didn’t have the posh of restructuring or diversifying like large companies and had been due to this fact in want of help from banks, he mentioned, urging the banks to give attention to extending credit to these items by means of the schemes of the State and Union governments.
He mentioned the advantages of varied aid measures introduced by the RBI ought to attain the beneficiaries.
Collation of information
The Minister additionally highlighted the significance of collating knowledge pertaining to the disbursement of loans to the MSMEs at extra frequent intervals so as to higher assess the influence of the help prolonged to the sector.
He known as for creating extra consciousness of the schemes and relaxations introduced by the RBI and the federal government to help the sector.
State authorities companies would additionally create consciousness by means of a number of channels, he mentioned.
The Finance Minister lauded the banks for his or her continued efforts by means of these difficult occasions. He additionally highlighted the efforts of the federal government in combating the second wave of the pandemic.
Chief Secretary V. Irai Anbu; Additional Chief Secretary, Finance, S. Krishnan; Secretary, MSME, Arun Roy; Indian Overseas Bank Managing Director P.P. Sengupta; and different officers and financial institution representatives attended the assembly.