Narendra Modi, Retail News, ET Retail
Union Minister Nitin Gadkari on Friday announced the inclusion of retail and wholesale trade in MSMEs (micro, small and medium-sized enterprises), according to which traders will now benefit from priority sector loans in accordance with the guidelines of the RBI.
In a tweet, the Prime Minister said: “Our government has taken a decisive step in including retail and wholesale as MSMEs. This will help millions of our traders get easier finance, various other benefits and will also help stimulate their activities. We are committed to empowering our merchants. “
Official sources said the move would have an immediate impact on small retailers and wholesalers with businesses up to Rs 250 crore in turnover by receiving short-term funding under various programs announced in the framework of the “Atmanirbhar Bharat” program.
This landmark decision will have a structural impact on the sector, helping it formalize by offering better financing options to companies that wish to structure themselves, they said, adding that it will give retail MSMEs the support they have. need to “survive, revive and thrive”. .
Retail and trade associations have welcomed the move, saying it will allow traders to access much-needed capital, having been hit hard by the COVID-19 pandemic.