RBI organises 38th Empowered Committee meeting on MSMEs

Excelsior Correspondent
JAMMU, Jan 30: The 38th Empowered Committee (EC) meeting on Micro and Small Scale Medium Enterprises (MSMEs) in the State of Jammu & Kashmir was held at Reserve Bank of India, here today.
The meeting was chaired by Thomas Mathew, Regional Director, RBI, Jammu and Kashmir. Besides,  A.K. Mattu, General Manager, RBI, Sunil Gupta, Zonal Head, J&K Bank, Rakesh Gandotra, vice-president, JK SLBC, Manoj Mehrotra, DGM, SBI,  B.S. Raina, DGM, PNB,  R.S. Barapatra, Director, MSME- DI, Jammu, R.S. Tara, Director, I&C, Rajesh Gupta, senior vice-president, CCI, Jammu &  Nasir Hamid Khan, senior vice-president, KCCI were among the other prominent participants.
While welcoming the participants to the event, A.K. Mattu General Manager, RBI explained the huge potential of MSME sector in employment generation and contribution to the overall economic growth of the country and therefore it was incumbent upon the banks to ensure timely and adequate lendings to this sector and also to promptly handhold the entrepreneurs wherever & whenever considered necessary.
He also laid emphasis that banks needed to make special efforts in ensuring CGTMSE coverage, timely locating the incipient sickness with prompt rehabilitation measures wherever feasible and also in augmenting lendings under MUDRA scheme.
In his welcome address, Regional Director explained that the main purpose of holding the quarterly EC meetings was to facilitate an accelerated growth of MSMEs in the State and also to remove the bottlenecks which hinder the smooth flow of credit to the sector. Besides, such a Forum also afforded an opportunity of direct communications/interactions between various stakeholders i.e. Government, bankers, regulators, industry associations etc. so that the MSME sector could get the focussed attention and necessary guidance, support from all concerned stakeholders for its smooth functioning and progress.
A detailed presentation on the credit flow scenario in the State relating to the MSME sector, up to the close of September 30, last year was made by Abhilasha Diwakar, Manager, RBI. The house was informed that the advances to Micro Small Enterprises (MSE) sector increased from Rs.10734.74 crore as on September 30, 2016 to Rs.12125.81 crore as on September 30, 2017, registering an increase of 12.96 percent growth year on year basis.
Further, the number of accounts which stood at 299323 units as on September 30, 2016 had increased to 344231 units as on September 30, 2017, registering 15.00 percent growth year on year basis.  The banks collectively surpassed target of 10 percent growth in number of accounts but fell short of the requisite target of 20 percent growth in credit dispensation Year-on-Year (YoY) basis.