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As Gujarat Fin Min presents State Budget, MSMEs give mixed reaction

Updated: Jul 03, 2019 09:56:09am
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As Gujarat Fin Min presents State Budget, MSMEs give mixed reaction

Gandhinagar, July 3 (KNN) Gujarat, which has always given focus to growth of industries in the budget, failed to impress the micro, small and medium enterprises (MSMEs) much in this year's state budget presented on Tuesday. Gujarat Deputy Chief Minister Nitin Patel, who also holds the finance portfolio, presented the State’s Budget.

A Rs 2.05 lakh crore budget was presented for the state. This is the first time when the state’s budget has topped the figure of Rs 2 lakh crore.

When KNN India talked to Micro Small and Medium Enterprises (MSMEs) associations in the state, they gave mixed reactions on the budget.

The Secretary General of Federation of Small Scale Industries (FSSI) Jaideep Modi said, "Government is not taking major actions to boost MSMEs in the state. Industries here are facing lots and lots of problems.

Disappointed with the state budget, he said, “Government is not giving boost to MSMEs and their growth is coming down day by day. Even qualified people are not getting jobs.”

Some of the MSME entrepreneurs whom KNN India spoke to were also not much impressed by the allocation made to the sector.

Meanwhile, the Secretary General of Federation of Industries Gujarat Nitish Patil that amount allocated for the MSMEs and startups in this budget is good and will help in growth and development of MSMEs in the state.

On the job front, Patel said the government would employ around 60,000 people during the next three years. A "minimum 50 lakh beneficiaries" will be given loans under the Mudra Yojna for self-employment, he said.

He asserted that opportunities of self-employment will be created for 25 lakh women "by making available loan of Rs 700 crore" this year.

In the renewable energy sector, Patel announced a new scheme to popularize solar roof-top system of electricity generation. Under the scheme, beneficiaries will be given a subsidy of 40 per cent up to 3KV and a subsidy of 20 per cent for the system of 3 to 10KV.

A provision of Rs 1,000 crore for this scheme has been made in the budget, he added.

The finance minister also said the established capacity of renewable energy in Gujarat is 8,885 MW as of now, and it has been planned to increase the capacity to 30,000 MW by 2022.

Gujarat Chief Minister Vijay Rupani said his government has presented a 'focused' budget keeping in mind sustainable development goals, while the opposition Congress dubbed it as 'directionless' offering nothing for the masses. (KNN/ CM)

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