On Monday morning, Prime Minister Narendra Modi's cabinet met for the first time since the BJP-led Central government entered into its second year of office. Prior to the meeting, the Cabinet Committee on Economic Affairs had also met at Modi's residence at 7 Lok Kalyan Marg in New Delhi.
Later, on Monday afternoon, Union Ministers Prakash Javadekar, Nitin Gadkari and Narendra Singh Tomar held a cabinet briefing.
Here are the highlights of the meeting:
While the special economic package for creating an Aatma Nirbhar Bharat had been announced last month, Prakash Javadekar said that on Monday the government had "formulated the roadmap for implementing the measures for MSME sector".
"These measures will improve ease of doing business, attract investment and create jobs," he added.
Speaking at the briefing, Javadekar said that the Cabinet on Monday has approved Rs 20,000 crore subordinate debt for stressed MSMEs. This, he said, would benefit two lakh stressed MSMEs. The Cabinet also approved Rs 50,000 crore equity infusion for MSMEs -- something that Javadekar said would "strengthen their growth potential and will enable them to get listed on stock exchanges".
Finance Minister Nirmala Sitharaman had announced last month that the definition of MSME had been modified. Javadekar on Monday said that the definition of MSME has been further amended since the announcement of the Aatma Nirbhar Bharat package.
"Turnover limit for medium enterprises revised upward to ₹ 250 crore, from ₹ 100 crore as announced earlier," he said.
"The Cabinet Committee on Economic Affairs has approved the increase in the Minimum Support Prices for all mandated Kharif crops for marketing season 2020-21," said Union Minister Tomar.
Union Minister Nitin Gadkari added that the Central government by way of the Aatma Nirbhar Bharat package has "paved the way for energising the MSME sector".
"The Cabinet has approved modalities and road map for implementing two packages for MSMEs: Rs 20,000 crore package for distressed MSMEs and a Rs 50,000 crore equity infusion through Fund of Funds," Gadkari said.
