The 28th meeting of the Standing Advisory Committee (SAC) to review the flow of credit to Micro, Small and Medium Enterprises (MSME) sector was held yesterday in Lucknow under the chairmanship of Swaminathan J, Deputy Governor, Reserve Bank of India, a statement from RBI informed.
The Deputy Governor emphasised on the role of the MSME sector, particularly in the context of the goal of attaining developed economy status by 2047. He stressed on the need for collaborative efforts on the part of all stakeholders to unlock the full potential of MSMEs. He also highlighted various initiatives taken by RBI such as the Account Aggregator (AA) framework, the digital Public Tech Platform to enable delivery of frictionless credit and the regulatory sandbox on MSME lending. He also dwelt on the important role of industry associations in information dissemination and capacity building among MSMEs, noted the statement.
It also said that during the meeting, the SAC reviewed the flow of credit to MSMEs and deliberated on issues related to assessing and bridging the credit gap for the sector, exploring digital solutions for improved credit linkage, accelerating adoption of Trade Receivables Discounting System (TReDS), credit support to women entrepreneurs, revival and rehabilitation of stressed MSMEs, and credit guarantee schemes, among others.
The meeting was attended by senior officials from Ministry of MSME and Department of Financial Services, Ministry of Finance; Chairman, SIDBI, Executive Director, RBI; senior management of major banks and NABARD; senior executives of Credit Guarantee Fund Trust for Micro and Small Enterprises; National Credit Guarantee Trustee Company; Khadi and Village Industries Commission; Indian Banks’ Association and MSME Associations, the statement mentioned.