‘Mitr kaal ki kahaani’: Rahul Gandhi slams Centre over report on stagnant MSMEs

Congress leader Rahul Gandhi lashed out at the Narendra Modi government on Thursday after a survey claimed that the performance of more than 72% of the surveyed micro, small and medium enterprises (MSMEs) had stagnated, decreased or stopped altogether. Others including TRS leader Sathish Reddy also cited the Consortium of Indian Associations report to criticise the Centre.

While around 28% of the respondents confirmed that they were growing, around stated that 76% were not making profit. Access to bank finance also remained a big issue, with 45% adding that there was no “ease of doing” that existed in starting or running or closing or in their living style

The survey - which came mere weeks after Finance Minister Nirmala Sithaman presented the budget - also indicated that 62% were disappointed with the latter. 

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Dubbing these numbers the “story of Mitr Kaal” Gandhi urged the Central government to aid MSMEs. 

“The magic that made a 'friend' second richest in the world, why not use the same magic on small businesses?” he jibed.

“More than 70% of MSMEs are stagnant and absolutely no growth since past five years. Where did all the money of Aatmanirbhar Bharat package worth ₹20 lakh crore have gone into? Mere Jumla or into the hands of Modi’s Co?” added TRS leader Sathish Reddy. 

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Earlier this week, Finance Minister Sitharaman had said that the Central government was ensuring that the public expenditure continues to grow to have a desired multiplier effect on all the sectors. She also stressed the BJP-led administration's focus on MSMEs, noting that it was collaborating with the states, as well as the Tier III administrations, such as the panchayats or ward-level administrations, to ensure that MSME priorities remain at the top of the agenda.

“…our major focus should be on MSMEs, which are the backbone of the Indian economy and important job creators. Unlike large units that are often located in specific places to leverage scale, MSMEs are spread throughout the country, creating local employment wherever they are found,” she said.

(With inputs from agencies)