As per news reports, exporters and MSMEs the
two key sectors reeling under coronavirus crisis are likely to get interim
financial relief package from the government.
Reports reveal that among the proposals under
consideration are part-waiver of fixed electricity charges, support in salary
payment to workers and interest subvention.
A micro, small
and medium enterprises (MSME) ministry official quoted, “After consulting
the industry we have compiled the suggestions and sent it to Finance Ministry.
The proposals are being discussed and would be announced at the earliest,”
he added.
In fact, in the meeting with commerce minister
Piyush Goyal, the MSME sector representatives had earlier sought government
help for payment of salaries saying they would not be able to disburse salaries
and retain staff in absence of government support.
An official said that the MSMEs have conveyed
that they have been paying workers’ salaries for the month of March, the real
challenge would come in April.
Financial support to the MSMEs and the export
sector is important as the two sectors employ a substantial number of people.
Many industry executives feel that the
support offered by the government and the RBI so far may not be sufficient to
provide liquidity. “The MSME firms generally don’t have much cash reserves
and their credit limits are also small,” said an industry executive.
Given that the salary date has already hit
and pressure to pay March salaries to workers on time continues, the MSMEs are
under huge pressure and want the government to come out with emergency relief
measures.