The Union Cabinet on Monday took a slew of decisions to boost the MSME and farm sectors hit hard by the nationwide lockdown.
The Micro, Small and Medium Enterprises (MSMEs) and farm sectors received major boosts on Monday as the Union Cabinet approved relief packages announced earlier by Finance Minister Nirmala Sitharaman along with a few new reliefs.
The Cabinet approved a package worth Rs 20,000 crores which will benefit 2 lakh MSME units, Union minister Prakasha Javadekar said. The government also approved a Rs 50,000 crore package for the street vendors. Under this package, street vendors, including hawkers, cobblers and salons, can get a loan of Rs 10,000. The Union minister said that at least 50 lakh vendors will benefit from this scheme.
Prakash Javadekar also announced that the government is going to keep up with the promise of increasing the MSP by 150 per cent. He said that increase in MSP rates would translate into 50 to 83 per cent profit to the farmers against their cost. This MSP will be applicable for 14 Kharif crops.