New Delhi, Aug 11 (KNN) Responding to the credit request of the Micro, Small and Medium Enterprises (MSMEs) in the state of Gujarat, the state government has decided to extend funds of over Rs 730 crores to the sector.

The amount will be extended to over 16,000 MSME units in the state in the form of capital incentives.

M.K Das, Principal Secretary, Industries and Mines Department in a press interview informed about the decision.

Das said that CM Vijay Rupani will be giving out the assistance amount to the MSMEs later this month. With the credit support from the government, the MSMEs that have been sick are expected to revive.  Also the state government is targeting employment generation by boosting the MSME sector.

The credit to the MSMEs is being given under the Industrial Policy 2015. Along with the loan, the government will also provide 50 per cent capital subsidy on investments towards sustainable means of technology.

Earlier, the state registered a significant rise in the number of sick MSMEs. In 2013, over 20,000 MSMEs were reported to be sick, whereas the number rose to 42,500 in the previous year. (KNN/ DA)