Rajasthan Governor urges banks to support MSMEs

Rajasthan Governor Kalraj Mishra on Thursday urged the banking sector to be more supportive towards the micro, small and medium Enterprises (MSMEs) in the state. In terms of financial assistance, he said that if required, the parameters and guidelines could be reconsidered to give a fillip to such units.

The Governor was speaking as the chief guest at the third MSME summit `MSME 2022: Forging the Future` organised here by the Federation of Indian Chambers of Commerce and Industry (FICCI) on Thursday.

Mishra further said the MSME sector was the second in terms of creating employment in the country, only after the agriculture sector.

"With just 20 per cent investment, it creates 80 per cent employment. As much as 31 per cent of the domestic manufacturing is by the MSME sector and 45 per cent of the total export sector," he said.

He also advised the MSME entrepreneurs that they would need to focus on the quality of their products as well as marketing.

Mishra also told the bentrepreneurs that they should avoid over-dependency on the government and that they should be able to overcome the bottlenecks with entrepreneurial acumen.

S. Ravi, General Manager, State Bank of India, Jaipur, said that with increasing competition, the banks are also changing its processes and training the employees to be more sensitive.

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Earlier, in his welcome address, FICCI Rajasthan Council Co-Chairman and Mandawa Hotels Joint Managing Director Randhir Vikram Singh said that MSMEs have played a pivotal role in providing employment in backward areas as well as to the youth and socially disadvantaged.

However, the sector also faces many challenges such as technological, financial, high cost of credit, lack of access to the international market, among others, he added.