UP Govt provides loan to 82 lakh MSMEs in four and half years


New Delhi : Uttar Pradesh has set a new record in the country in terms of promotion of micro, small and medium scale industries (MSMEs) through provision of loans. As many as 1,54,691 people borrowed loans worth Rs 11702.37 crore between April 1 and September 21 this year, data received from banks reveal.

1,54,691 people get loans worth Rs 11702.37 crore between April 1 and September 21 this year

It includes loans worth Rs 10723.41 crore borrowed by 1,51,878 entrepreneurs and Rs 978.96 crore taken by MSME units under the Emergency Credit Line Guarantee Scheme (ECLGS).

In the last four and a half years, more than 82 lakh MSMEs have been given loans in the state, whereas in the year 2016-17 during Akhilesh Yadav’s government, only 6,35,583 MSMEs got loans.

The MSME units set up during the second wave of the pandemic include oxygen and oxygen concentrator plants as well as thermal scanner, UV chamber and ventilator units among others.

It is worth mentioning here that during the first wave of the pandemic, several MSME units were set up to make masks, PPE kits and sanitizers.

In view of the growing interest among entrepreneurs to set up new units in the MSME sector, Chief Minister Yogi Adityanath has now approved setting up of MSME parks to bring in maximum investment in this sector. The first MSME park of the state will be set up in Sector 29 and 32 of Yamuna Expressway Development Authority (YIDA). Similar parks will be set up in Agra, Kanpur, Moradabad, Varanasi, Azamgarh and Gorakhpur. These six districts already have a large number of MSME units. Thousands of people will get employment in the MSME parks being set up in UP.

MSMEs to help realise CM Yogi’s goal of making UP the one trillion economy

According to officials, the State Government’s decision to continue industrial activities in order to protect people’s livelihood proved to be a lifeline for the MSME sector. No MSME unit was shut down while new entrepreneurs continue to set up their ventures in the state despite the pandemic.

Several new food processing plants have been established during the ongoing pandemic. The service sector has also grown rapidly. The trend of supplying essential goods through online app has gained momentum. Government figures indicate that the MSME sector is the most important sector after agriculture in terms of providing employment in the state.

In terms of the number of MSMEs, the share of Uttar Pradesh in the country is 14.2 percent. Through the MSME sector, the state has been exporting goods worth more than Rs 1.14 lakh crore for three consecutive years.

Chief Minister Yogi Adityanath has given priority to MSMEs and the government figures clearly reflect this. In the financial years 2017-18, 2018-19, 2019-20 and 2020-21 7,87,572, 10,24,265, 17,45,472 and 13,52,255 MSMEs were given loans respectively. in the Yogi government as soon as the government changed in 2017. From April 1 to September 21, 1,54,691 people have provided loans worth Rs 11702.37 crore.

The MSME sector is fast becoming the growth engine of UP’s by economy and will play vital role in realising CM Yogi’s goal to make UP the one trillion economy.