To Honorable Finance Minister(GOI)
In My Yesterdays Newsletter, I have repeatedly talked about an attitude of Bank officials for resolving NPA Particularly for MSME.
I submit that MSME, by its structure of being proprietary/Partnership(by and large to be precise 95%) are not having up to date information and many stakeholders take advantage of this, knowingly or unknowingly and MSME are in many cases, Surrender.
Meanwhile, with Asset Quality review by RBI, many large corporations are getting a lot of attention from top management while 1cr jobs are at stake in MSME. This is missing in efforts of both govt and RBI.
Also, when it comes to MSME, both can become more proactive or at least enforce the existing rules and regulation. Both are not acting at the bottom level.
Honourable acting finance minister Sri Piyush Goyal, and Sri Arun Jelly both have good knowledge of international banks and action required but they are trying to act at the top.
Can they look the problem from the bottom of Pyramid where more jobs can be retained so govt may not have to give Mundra Loan at the speed they are doing now or can work on both parallel to increase jobs or employment in an ecosystem?
To create the new job in MSME will require 50000 to 3lacs but to retain one job in MSME will require only 15000 to 25000. It is obvious where our effort shall be.
Let us revive MSME at the faster rate and try to change attitude for all stakeholder at the bottom.
Let us not fear about 4C, CAG, CBI, CVC, etc.,