Rajasthan’s new MSME policy promises huge employment opportunities

The policy will facilitate 9,000 MSMEs to obtain the Zero Defect Zero Effect certification

The new micro, small and medium enterprises (MSME) policy adopted by the Congress-led government in Rajasthan has promised the creation of huge employment opportunities while setting the target of establishing 20,000 new MSME units. There will be a cumulative investment of ₹10,000 crore on these units which will generate employment for 1 lakh people.

Industries Minister Shakuntala Rawat said on Wednesday that the State government would create a better regulatory environment for the MSME sector. The policy will also facilitate as many as 9,000 MSMEs to obtain the Zero Defect Zero Effect (ZED) certification, which will increase productivity, reduce wastage, save energy and enhance environmental consciousness.

The MSME sector’s contribution to the State Gross Domestic Product is at present estimated to be 24.5%, while the total exports by MSME industries during 2021-22 amounted to ₹72,000 crore. Ms. Rawat said the policy’s emphasis on providing loans on easy terms to enable small business owners and investors to set up their ventures would help create 50,000 new employment opportunities over the next five years.

The Minister said the benefits of the MSME schemes were being extended in the State to the units in manufacturing and services segments and similar other enterprises. A provision of ₹150 crore has been reserved for distributing loans to the MSME units through financial institutions such as Rajasthan Financial Corporation and regional rural banks, and will remain effective till March 2024.