Credit and Finance for MSMEs: Uttar Pradesh’s investment promotion and facilitation agency Invest UP has directed state departments to clear pending dues of micro, small and medium enterprises (MSMEs). According to a report by Hindustan Times, Invest UP Chief Executive Officer Abhishek Prakash in a meeting on August 5 with the industry body Indian Industries Association (IIA) and concerned departments of the state government asked the officials of the Purvanchal Vidyut Vitran Nigam Ltd, Varanasi, to take appropriate action on pending payments for supply of goods by small businesses within 15 days.
Likewise, for delayed payment cases in the Meerut division in the divisional facilitation council, additional commissioner, Industries, Chaitra V, noted that hearing was disposed of in 30 such cases. The IIA was also instructed to share details of other pending cases for disposal under the provisions of the Micro, Small and Medium Enterprises Act-2006. Prakash also asked for immediate action to clear pending payments of goods supplied by an MSME unit of Lucknow to the Jal Nigam.
During the meeting, IIA representatives including national president Ashok Agarwal highlighted that new and pioneer industrial units are not getting timely exemption in electricity duty as announced by the state government. In response, Prakash asked the directorate of electrical safety to gather details of such cases from the IIA and resolve the issue. Electrical Safety joint director VP Srivastava, present at the meeting, also assured resolution to such pending issues, the report noted.
According to the government data on delayed payments shared in the Rajya Sabha recently by Minister of State (MoS) for MSMEs Bhanu Pratap Singh Verma, the amount involved in pending applications across India in FY22 had nearly doubled to Rs 5,685 crore from Rs 2,887 crore in FY20. In comparison to FY22, the amount pending during FY21 stood at Rs 5,747 crore. In the current financial year, as of July 27, the amount stood at Rs 2,311 crore.