India Has Nearly 2.5 Lakh Sick MSME Units: RBI | SupportBiz

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India Has Nearly 2.5 Lakh Sick MSME Units: RBI

 
According to the new definition of sickness by RBI, there are about 2,48,890 sick MSMEs in India.

Bangalore, December 31: According to the revised definition of MSME sickness by the Reserve Bank of India, the number of sick micro, small and medium enterprises in the country has risen to a remarkable level. As on March 2013, there are about 2,48,890 sick MSMEs in India, the Minister of State for MSMEs KH Muniyappa told the Lok Sabha recently.

"The number of sick micro, small and medium enterprises (MSMEs) in March 2013 was 2,48,890. The number of sick MSMEs in March 2013 has increased from 88,635 in March 2012 on account of revision of definition of sickness made by RBI," the minister said in a reply to the Lok Sabha.

RBI had published a set of revised guidelines for rehabilitation of sick micro and small enterprises (MSEs) on November 1, 2012 which calls for early identification of sickness, a viability study to formulate the basis of rehabilitation package to potentially viable sick MSEs; and a non-discretionary one time settlement (OTS) scheme for the MSE sector, The Economic Times reports.

Of the 8,836 sick MSEs identified as potentially viable, over 4,460 units are under 'nursing' as on March 31, 2013, revealed the provisional data provided by RBI.