New Delhi, Feb 1 (KNN) Presenting the interim budget for 2019, which is considered to be crucial because of the elections in May this year, Union Finance Minister Piyush Goyal announced 2 per cent interest subvention for MSMEs for loans up to Rs 1 crore.

He said the government has taken many steps to support the MSME sector that provides jobs to crores of people in the country. We recently announced a facility to avail Rs 1 crore loan within 59 minutes.

Reacting to the announcement, Dr Yerram Raju, Economist cum Adviser, Government of Telangana, TIHCL said, "The announcement helps many MSEs within the threshold. Implementation is the key issue. This budget didn't do justice to the sector . Once the High Level Committee of RBI submits the Report, we may expect more goodies for the sector in the next permanent Budget."

Finance Minister Piyush Goyal, who stepped in after Arun Jaitley went to US, said while presenting the Interim Budget for 2019-20, "All MSME units registered with the Goods and Services Tax (GST) will now have 2 per cent interest subvention for loans up to Rs 1 crore," he said.

Goyal said GST has been continuously reduced resulting in relief of Rs 80,000 crore rupees of consumers.

He said most of the items are now in the 0%-5% tax bracket.

Calling GST as one of the biggest taxation reform implemented since Independence, the Finance Minister said with tax consolidation, India became one common market.

“Inter-state movements became faster through e-way bills improving Ease of Doing Business,” he added.

The Finance Minister revealed that GST collections in January 2019 has crossed Rs 1 lakh crore.

Goyal further said that a Group of Ministers is examining how prospective house buyers can benefit under GST. (KNN Bureau)