Small and medium scale industries are doing 70 per cent production of the country
Micro, Small and Medium Enterprises should get easier finance from the formal banking system, senior BJP leader Murali Manohar Joshi told PTI.
"Small and medium scale industries are doing 70 per cent production of the country. If they do not remain in good health, the country's economy won't remain in good health. But the economy is doing very little for this sector."
"Past government and their budgets have been focused on the corporate sector," said Joshi while speaking at a national conference on 'Small Business Finance: Fuel for Growth Economy.
He further said that there is a need for affordable, accessible and available finance for the sector from the banking sector.
"Flow of black money will not end until people in this sector get white money," he pointed out.
The conference was organised by Action Committee for Formal Finance for Non-corporate Small Business (ACFF) where prominent stakeholders of non-corporate, small business in the country has come together to support and give shape to a proposed financial architecture to support the Small Business Finance.
Union Finance Minister Arun Jaitley in his budget speech had called for the constitution of a special Committee of officials from the Finance Ministry, MSME Ministry and Reserve Bank of India (RBI) to develop a new financial architecture to support the Small Business Finance.
"The financial needs of the non-corporate small business sectors have been ignored by all previous governments. Yet this is the crying need and has potential to transform the country's economy and welfare of the people," Praveen Khandelwal, National Coordinator, Action Committee and Secretary general of Confederation of All India Traders told PTI.
"This committee represents nearly six crore small business enterprises, 1.25 crore transporters, four crore hawkers and crore of other self employed groups, women entrepreneurs, labourers, self help groups and many more," said Khandelwal.