New Delhi May 15 (KNN) The apex body for Indian Micro Small and Medium Enterprises (MSMEs), FISME, has welcomed the credit package announced by the government. However, it felt that not enough is being done to protect them from collapsing due to COVID-19 crisis.  

Reacting on the announcement made by Finance Minister Nirmala Sitharaman, the Federation of Indian Micro, Small and Medium Enterprises (FISME) has said that Sitharaman has so far addressed only one of the three core demands MSMEs had put before the government.

FISME also said that salaries were not paid to 8 to 10 crore MSME workers in April as majority of them have run out of fund. 

''The government should make arrangements for paying salaries of around 12 crore workers during the lockdown period through Employee State Insurance Corporation (ESIC),'' FISME demanded.

The MSME body further suggested that the government should provide an interest subvention on existing loans taken by MSMEs to give them relief.

Sitharaman on Wednesday had announced Rs 3 lakh crore collateral free loan for MSMEs.

''The collateral free loans are for those with upto Rs 25 crore outstanding loan or Rs 100 crore turnover. The tenure of the loan will be 4-year and moratorium of 12 months,'' said FM at a press conference.

The Finance Minister also announced 100% credit guarantee cover to banks and Non-Banking Financial Corporation (NBFCs) on principal and interest which will benefit 45 lakh units.

There was another positive news from the FM as she said that for government procurement, tenders up to Rs 200 crore will no longer be under global tender route. Earlier MSMEs, used to get disqualified and disallowed from participation.