UP government signs MoU with National Stock Exchange to boost MSMEs
New Delhi, Feb 27 (KNN) In a bid to boost startups and Small and Medium Enterprises (SMEs), Uttar Pradesh government has taken another major move by signing a Memorandum of Understanding (MoU) in conjunction with National Stock Exchange (NSE).
The purpose of signing MoU with NSE is to foster UP startups and Small and Medium Enterprises and to make them aware about the opportunities to access capital, SME exchange guidelines, listing processes, compliances with listing agreement and regulatory mechanism by listing them on NSE SME platform called “NSE Emerge”.
NSE would educate the startups about the capital market structure and teach them methods of raising capital.
With this move government wants to make SME sector strong enough to face and stand against rising competition.
The steps would be taken by government to upgrade technology in order to boost quality and quantity of economic activity and bring industrial revolution.
Further UP government would also explore possibilities to support SMEs by providing them one-time financial assistance or subsidy for its public issue expenses subject to a ceiling that to be predetermined regularly.
Also government would take steps in direction of fund raising by setting up a government sponsored SME equity participation fund in conjunction with national banks.
Besides this, government would allow SMEs to get enrolled in NSE Capital Market Programs including both physical and virtual participation in the scheme.
Anil Kumar, the state’s MSME and Export Promotion Principal Secretary, said, “State has flourishing handicraft & handloom industries, leather industry, tourism industry and agro-industry etc.”
He further added that it’s a high time to explore new financial ways to fund and support MSMEs. (KNN/YV)