Skip to main content


MSME Senerio in India

News Letter Date:17/11/18 MSME Senerio in India

In 1969, Indira Gandhi nationalised the banks. one of the agenda may be to tackle unemployment by directional lendings. From that time, until today, in one form or the other same is continuing. As of today, 1 job can be created by 50000 to 300000 capital investment. Few pointers I would like to bring out:
1. All these years, a lot of entrepreneurs are created but there are failures in ventures. This has created a lot of social disorders like entrepreneur's kids are not ready to join the venture as succession. At some stage in their life, children ask "What did you do for me" and they desert parents. For the last 30 to 40 years, I am trying to inform academia and scholars to study the impact of failed entrepreneurs and its social effect.
2. We have created app 6cr MSME employing 11cr people i.e., 44cr lives. During the last 3 years, the rate of growth of MSME may be 15-20% year on year. But if we take NPA(as per MSME Pulse) app…
Recent posts

12 Point Agenda for MSME

News Letter 12 Point Agenda for MSME Date:11/11/2018 Sri Modi announced new MSME policy on 2nd NOV One Point which attracted my attention is an effort to create deep bill discounting culture which is a need of the hour. As the requirement any corporate above 500cr do not register on Tradex, bill discounting platform, what happens to MSME? From Independence we have gone on the penalty based system, can we change to the incentive-based system so that the real impact to all MSME can come. Let policymakers think and work out ways for it.
Regards,N.P. Desai

2nd Nov Announcement by Honourable Prime Minister for MSME

News Letter 2nd Nov Announcement by Honourable Prime Minister for MSME Date:11/11/2018
It was good to hear 12 points Diwali Bananza announced by Sri Narendra Modi. The policy makers seating in A/C cabins and Chairman of Banks on whom the Prime Minister depend to give this Diwali Bananza. Let the Chairman or Executive director of Banks directly interact with their Own Small customers and Understand. Sri Modi said that 6.3cr MSME is giving employment to 11cr people which means app 44cr lives and the top of the system, Sri Narendra Modi is seating, there are a lot of filters and he is not getting any ground level pictures. Every Minister in both Central & States bureaucrats at both Centre and States, various Commissioner in Industry departments are only giving lip sympathy to these new entrepreneurs. Let us see the problem from 10 to 20 years perspective. We are creating Social disorder by the children of these entrepreneurs. They do not want to join this and they blame "What did you d…

News Letter: Injustice for MSME done by all stakeholders Vijaya bank in Particular

News Letter Date:26/10/2018 Injustice for MSME done by all stakeholders Vijaya bank in Particular
Last few News Letter, I am trying to bring to the notice of all my readers, that how Vijayabank is behaving in case of Adhya Industries, Balanagar, Hyderabad financed by Somajiguda, Hyderabad. For the last two months, Growth Idea Lab has moved the various proposal to ED and AGM (recovery) Vijayabank but they are not Keen to resolve.
In thousand of the case, they all public sector banks, pursue two prolonged approaches, even not respecting, Reserve Bank of India and Honorable high court (AP&Telangana) guidelines/orders.
So lefthand does not know, what right hand is doing.
The situation is similar to If the pencil falls on paper or paper falls on a pencil, Paper only gets punctured.
Similarly, in the above case, 30 workers are getting punished for no fault of them and MSME entrepreneur.
Can Sri Giriraj Singh, Dr Pandya, MSME Secretary Development Commissioner Sri Mishra who are supposed to take…

News Letter: Injustice for MSME done by all stakeholders Vijaya bank in Particular

Giriraj Singh Says 80000 cr NPA in MSME

A recent statement made by the honourable minister of MSME (Independent charge) in parliament. The point which is not brought out is 1cr jobs are at stake, i.e., if govt can save this by any measures capital cost/job is only 80000/-. They are promoting “Make in India” “manufacturing 4”, Digital technology penetration for improving “efficiency” etc. It is time for govt and RBI to become proactive. This may require policy changes but if they implement existing policies also 40% problem can be resolved. Banks, at a lower level, want to become unit NPA and transfer the file to their stressed asset management branch. While RBI has classified SMA0, SMA1, SMA2 and corrective action plan with timelines. I would be happy to know, which bank has followed a timeline? Can the survey be done? Can the official concern be punished?


RBI Governor and Deputy Governor say increase in NPA may be because of entrepreneurs fault or banks negligence or external factor.

In Telangana from 2008 to 2014, there was severe power cut and because of bifurcation agitation, we had more non-working days than working days.

Some units with thinner equity had no reliance power and stamina.No other financial instruments being available except debt (both from boxes and PVT) has eroded they are staying power.

All India forums for small and medium enterprise have raised their voice but banks have their own agenda to pursue SARFAESI and recovery without hearing the plight of the same unit.

RBI, time to time have given policy corrections but it does not read the operation levels i.e; chief manager of branch or field officer.

For a 5000 crore NPA in MSME sector involving some 10 to 12 lakhs accounts, but employer 1 to 2 crore jobs are treated very badly.

Time has come to revolt against the existing system of NPA classification in the manufa…