Economic Package 2.0: MSMEs get bigger; definition changed, loans made easier and more

www.financialexpress.com 13 May, 2020

Economic package 2.0 will bring immediate relief for MSME and migrant workers

This economic package is for our cottage industry, home industry, our small-scale industry, our MSME : PM Modi

Definitions of MSMEs changed and investment revised upwards

• Classification – Manufacturing and Servies
• Micro – investment less than Rs 1 crore and turnover less than Rs 5 crore
• Small – Investment less than Rs 10 crore and turnover of less than Rs 50 crore
• Medium – Investment less than Rs 20 crore and turnover less than Rs 100 crore

Collateral free loans for MSMEs announced by the Finance Minister

Collateral-free automatic loan to be up to Rs 3 lakh crore will be given out to the MSMEs with a time frame of 4 years with 12 moratorium. 45 lakh MSMEs are to benefit from this scheme. Eligible must have turnover of Rs 100 crore.

Read more at: https://bit.ly/3ctYkZL