The state’s much anticipated new industrial policy is in the works and shall soon be out by the beginning of next year.
‘Wider Stakeholder consultation for the new industrial policy is already underway and we shall have the new industrial policy in Jan 2020’ stated Mr JVN Subramanyam, IAS, who has recently taken charge as the Director Industries, GoAP.
Dr YSR Navodayam scheme
Speaking on the recently launched Dr YSR Navodayam scheme for MSMEs he said that this scheme is going to be hugely beneficial to small and micro enterprises.
Under this scheme about 85000 micro and small enterprises are said to be benefitted in the state.
The scheme is in line with the RBI notification. RBI had last year decided to permit a onetime restructuring of existing loans to MSMEs that are in default but ‘standard’ as on January 1st 2019 without an asset classification downgrade.
This was done to facilitate meaningful restructuring of MSME accounts that have become stressed.
The state government is actively providing all the support and holding to these eligible micro and small units who can avail benefit of this restructuring.
It is estimated that close to Rs 3900 crores of loan re-structuring (onetime restructuring) will be done in the state.
As most MSMEs have working capital issues this is significantly going to ease their financial burden said the Director of Industries.
One of the major support/assistance that the state government is providing is to reimburse 50% of auditors fees used for preparing the techno-economic viability (TEV) report.
‘Many of the micro and small enterprises cannot afford these fees hence the state government under the Dr YSR Navodayam scheme will reimburse 50% upto a maximum of Rs 2 lakhs of the auditors fee’ said Mr JVN Subramanyam, IAS,
He is also the CEO of the Economic development board of AP.
Some of the benefits of the scheme:
- 50% reduction of company auditing fee (maximum limit of Rs 2 lakh)
- Enabling eligible MSMEs to take benefit of the onetime restructuring
- Every month District level committees chaired by the District Collector will ensure that the scheme is effective for eligible institutions