Visakhapatnam: Restart package of state government offers relief to MSMES

Visakhapatnam: AP Chambers of Commerce and Industry Federation (AP Chambers) hailed the timely release of incentives to MSMEs under restart package during the lockdown period despite the severe financial constraints faced by the state government.

Speaking at the conference here on Wednesday, Director of AP Chambers A K Balaji said, "With this restart package, industry will get breathing space out of financial doldrums. Credit limit for the MSMEs from the banks will be increased by 20 percent without any collateral security.

Also, NPA and stressed accounts are specially taken care of with separate package." Past president of AP Chambers G Sambasiva Rao said releasing of Rs 450 crore as the first instalment of industrial incentives would greatly benefit 10 lakh people working in 98,000 MSME units, who were facing hardships due to the lockdown.

Thanking the Chief Minister YS Jagan Mohan Reddy for his timely initiative to bring back the failing economy, president- elect of the Chambers Pydah Krishna Prasad said working capital loans at low interests to MSMEs with a repayable period of three years, including moratorium period of six months for meeting liquidity crisis, is step in the right direction.

Vice-President of AP Chambers K Kumar Raja, and zonal chairman Sudhir Mulagada also spoke.