New Delhi: A day after the definition of micro, small and medium enterprises (MSMEs) was widened, Congress leader Rahul Gandhi Tuesday said that one third of the MSMEs in India are closing down permanently and it would be criminal not to support them with cash.
Rahul Gandhi tweeted: “11 crore Indians are employed by MSMEs. One third of them are closing down permanently. It’s criminal for the government of India not to give them cash support immediately.”
Hours earlier, he tweeted: “Moody’s has rated Modi’s handling of India’s economy a step above JUNK. Lack of support to the poor and the MSME sector means the worst is yet to come.”
After change in MSME definition, entities with a turnover of up to Rs 250 crore or investment up to Rs 50 crore will qualify as medium enterprises. Union Minister Nitin Gadkari said that the changes would benefit 6 crore MSMEs that together employ 11 crore people.
Rahul had earlier said that MSMEs are facing an unprecedented economic crisis and had emphasised the need for an exhaustive economic package for all sections of society.
“6.25 crore MSMEs generate over 11 crore jobs. Give 1 lakh crore Wage Protection Scheme’ & multi-crore ‘Credit Guarantee Scheme’ to MSMEs. Give six months interest subsidy equal to six months of interest on loan taken by MSMEs,” Rahul Gandhi said in a statement May 16.