New Delhi : Union Government is hopeful that the MSME Sector can contribute 60 Percent of the Gross Domestic Product (GDP) as it is scaling high with the impetus of the Government of India.
While MSME is contributing 30 Percent of GDP, it has the scope to double its contribution to the Economy.
Union Minister for MSME Nitin Gadkari has said that integrated efforts are required to develop a solid finance model which can give MSMEs much needed financial support.
He said, this sector is the backbone of Indian economy. To fulfill the vision of Atmanirbhar Bharat, the role of MSMEs is very important. Presently they are facing many problems because of working capital.
Gadkari was addressing the valedictory function of the MSME finance week through video conferencing here on 16 December.
It was hosted by Global Alliance for Mass Entrepreneurship. He said, MSME sector is contributing 30 percent to the GDP, and the mission is to take it up to 40 percent. In Export sector, the contribution of MSMEs is 48 percent, which is to be taken up to 60 percent.
He informed that 11 crore job were created by MSME sector. In the coming 5 years we want to create 5 crore more Jobs in this area, he said.
The Minister said, Industry is centralized in urban sector. There should be a shift in this trend. We have to explore the job potential of rural and tribal areas. In this endeavor, Finance institutions’ role will be important. To set up small industries in this area, working capital will be needed. For this we have to develop a solid finance model. This will help to fulfill the gap between India and Bharat.
He said that to give boost to MSME sector, integrated effort is to be made to develop innovative designs and ideas that are cost effective and environment friendly. For this high level of coordination, communication and cooperation is needed. He said, reform, perform and transform is the aim of PM for Atmanirbhar Bharat.
Gadkari said that to develop MSME sector, lot of innovative technology is needed. Many efforts are already carried out by various institutions in this direction. For example, different types of fuel are being made from surplus agri products.
Union Minister MSME also called for focusing on creating wealth from waste, which will add to economy .