List of Different Packages under PM’s Atmanirbhar Bharat
Some of the Latest, Upgraded or New Incentives and Initiatives
On one of his recent address to the citizens of India, PM Mr. Modi showed us that the Government has decided to now focus on both of these two things: the country and the lives of the country natives/ citizens. During this speech, he also made an announcement that is very important for people looking for company formation in India, as well as the company registration process in India. He introduced the economic reforms of around 10% of India’s GDP that is 20 trillion Indian rupees! There were some other reforms that were announced by the Finance Minister of India as well, as this article is for those people who are interested in company formation in India and need a brief detail about these reforms.
Let us have a glimpse at some of the reforms in the MSME sectors:
The Government has announced approximately INR 3 lakh crores of collateral-free loans for businesses.
In this, the businesses that have an outstanding amount of nearly INR 25 crores, as well as a turnover of INR 100 crores, can apply for this loan. The tenure of this loan would be 4 years and there would not be any guarantee fee as collateral.
The Government announced INR 20,000 crores for the subordinate debt for stressed MSME’s
This is mainly for the MSMEs that are NPA /stressed only. Another main focus through this is to provide credit guarantee to financial institutions that provide loans to MSMEs since CGTMSE will be the one who will be providing the partial credit guarantee support to banks.
Next, the Government announced the INR 50,000-crore equity infusion for MSMEs via funds of funds.
The Government has decided to set up a FOF i.e. Funds of Funds which will have a corpse amount of INR 10,000 crores. The main aim of this is to provide the MSMEs the equity that they need to grow exponentially.
The Government has expanded its horizon for the global tenders for the MSMEs
This is one of the most important announcements for anyone looking for company formation in India since the Government has now decided to not allow the foreign companies to procure the Government tenders up to Rs 200 crores.
Some of the other measures that are taken by the Government that are important for people looking forward to company formation in India are:
The aim of promoting the linkage of the MSME to the e-markets that can replace the exhibitions and fairs that are set up around the country.
The Fintech will be used by the Government for the enhancement of transactions that are generated by e-marketplace.
We hope that you found this article informative, and it helped you gain more knowledge about the reforms as a person who is looking at company formation in India. DBPL.asia’s expertise in helping the company registration process in India and all the other activities related to opening the business. Do check out our website for more information.
The procedure of Forming a Company in India
India has been a hub for companies that are related to the manufacturing sectors. And as the turn of events takes place around the world we see India becoming the primary choice of almost all the manufacturing companies. The economic advances of the country can definitely be boosted by the introduction of FDI i.e. Foreign Direct Investments into the country. The Government’s plan to introduce several reforms to the industrial sector has definitely paved a great plan for the development of the nation. Amidst all this, the current time seems to be the perfect time for anyone who is looking forward to forming a company in India.