Big companies must clear dues of MSMEs to support them: FM Nirmala Sitharaman

New Delhi, Sept 14 (KNN) MSMEs need support from the government as well as the big companies who must clear all dues of small businesses, said Union Finance Minister Nirmala Sitharaman on Tuesday.

Although there are pending payments from central and state governments and central and state-owned entities, the Minister was surprised to find that considerable due pending payments were also from the big industries, reported Business Standard. 

She was speaking at the Hero Mindmine Summit reflecting on the support MSMEs need.

Urging the industry she said, “For all the tears that we shed for the MSMEs, can we limit the time by which the MSME get dues?”

It is encouraging that larger companies are including the amounts owed to MSMEs in their annual statements, but they also need to clear these dues, she said.

At the end of 2021, India’s MSMEs were owed dues worth Rs 10.7 trillion as per reports.

The delays in payments are from private customers, government departments, and PSUs.

In view of delayed payments micro industries are the worst hit at 65.73 per cent.  (KNN Bureau)