Guwahati: MSME boost to accelerate the North East growth story: ICC Chairman

In the Union Budget 2023-24 chaired by Union Minister Nirmala Sitharaman today at the parliament announced a slew of programme .

Indian Chamber of Commerce (ICC) North East Regional Council with regard to the Union Budget 2023-24 feels that the Budget presented by Finance Minister Nirmala Sitharaman today represent the intent of the new Government of boosting the local industries reiterating its slogan of ‘’Vocal for Local’’.

The government has proposed to spend a record Rs 22,138 crore on allocations aimed at micro, small and medium enterprises (MSMEs) ministry in the Budget 2023-24, giving a boost to employment in the country.

Apart from that the government announced a revamped credit guarantee scheme for micro, small and medium enterprises (MSMEs) which will come into effect from April 1, 2023, with an infusion of Rs 9,000 crore into the corpus. This will enable another collateral-free credit of Rs 2 lakh crore. Further, the cost of credit will be reduced by around 1 percent. This will surely help to revive MSMEs that are still recovering from the COVID-19 pandemic.

ICC which had been advocating for the growth of MSME sector deeply appreciated these initiatives. Mr. Sarat Kumar Jain, Chairman of Indian Chamber of Commerce, Assam Chapter said that North East, where most of the industries are in small sectors, this boost up of MSME will surely help to accelerate the North East growth story.

To enhance the ease-of-doing business, more than 39,000 compliances have been reduced and more than 3,400 legal provisions. Ease of doing business has been a key initiative taken by the incumbent government and ICC feels this abolishment of irrelevant by laws will further help to take the country towards a higher growth trajectory.

In order to help the agriculture industry, which continues to be one of the largest generators in the economy, the government raises the farm credit. The finance minister said a national cooperative database is being prepared, as well as plans to set up a massive de-centralised storage capacity. This will facilitate the setting up of fisheries, farm and dairy cooperative societies in uncovered villages over the next five years. This is aimed at offering a boost to allied agricultural activities in the remote areas.

In the health sector Budget 2023-24 increased the allocation for Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) to Rs 7200 crore, while Rs 646 crore has been allocated for the Ayushman Bharat Health Infrastructure Mission (PM-ABHIM).

In energy sector of the country announcing "green growth" as one of the seven priority sectors for the government, allocated Rs 10,222 crore toward the renewable energy sector in the Union Budget 2023. This Budget provides Rs 35,000 crore for priority capital investments towards energy transition and net zero objectives, and energy security by Ministry of Petroleum & Natural Gas. This comes as India focuses on a cleaner economy and aims to achieve a net-zero emissions goal by 2070.

In Budget 2023-24 proposed to revive 50 additional airports, heliports, water aerodromes and advance landing groundings “for improving regional air connectivity”. In recent years, the Centre has been improving regional air connectivity through its flagship scheme, UDAN, which focuses on connectivity between Tier-2 and Tier-3 cities. North East which contains some of the most difficult terrains these restorations of airports will surely help for the common citizens. However ICC feels that there could have a special package for North East infrastructure development and expects the government will surely look into it.

To promote digital payment, the Union Budget 2023-24 governments has given financial support for the digital payments sector to two-fold amounting to Rs 2,137 crore in the current fiscal.

Indian Chamber of Commerce states that the budget is one of the most inclusive budgets in recent times which take care from common man to MSME sector and also to large industries.

According to ICC it is growth oriented and has focus on infrastructure, manufacturing, saving stimulus and at the same addresses the issue of agriculture, education, skill development, public health and had made an attempt for inclusive growth. ICC strongly believes that this bold and innovative budget will help India to achieve the three trillion economies and a global leader. Mr Sarat Kumar Jain, Chairman of Assam Chapter of ICC is deeply optimistic of this new budget which contains a slew of new reforms and congratulated the government.

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