Telangana government mulls fund to address MSME sickness

HYDERABAD: A sub-committee of the Telangana State Level Bankers' Committee (SLBC), formed to look into the issues marring micro, small and medium enterprises (MSME) sector in the state, held its first meeting in Hyderabad on Thursday, the Telangana government said.
Chairing the meeting, Telangana industries minister Jupally Krishna Rao pointed out that Rs 47,669 crore had been lent to the MSME sector as on December 31, 2014, of which micro enterprises had received Rs 16,610 crore and small enterprises Rs 21,767 crore.Expressing concern over a number of MSMEs turning sick in Telangana, Rao said the government was formulating a scheme on the lines of the CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) to provide additional funds for MSMEs.
He added that the government intends to join hands with industry bodies to create a corpus fund to prevent incipient sickness of MSME units.