Indian Govt concerned at 221% rise in sick MSMEs

 

Outstanding loans of sick units have risen by nearly 145% - from Rs 5,233 cr to Rs 12,800 cr - between 2010 and 2013

An inter-ministerialcommittee on accelerating manufacturing in the micro, small and medium enterprise (MSME) sector has made over 60 recommendations covering issues of regulation, finance, infrastructure, technology and markets that affect the different stages of the life cycle of MSMEs.

The recommendations come in the backdrop of a 221 per cent increase in the number of sick micro and small enterprises (MSEs) between 2010 and 2013 — from 77,723 to 249,903 (provisional) — after declining between 2005 and 2008. Their outstanding loans have risen by nearly 145 per cent over this period, from Rs 5,233 crore to Rs 12,800 crore.

http://www.business-standard.com/article/sme/govt-concerned-at-221-rise-in-sick-msmes-114032401138_1.html