PM’s Rolls Out package is not clear about disbursement method. :- Nitya nand singh.
We have to look beyond the limit imposed by the (FRBM) Fiscal Responsibility Act. In a scenario where Indian GDP may drop by atleast 5.5% presently from 5% in FY 2020 to -0.75% in FY 2021, means and method of disbursement of 20 Lakh Cr. package is very critical to brake the Economic inertia to match the future accelerated speed.
To support the MSMEs we have to think about fixed cost minimisation, may be Interest, Electricity fixed charges, Rent, Labour cost and stockholding cost (Raw+ Semi+ Finish). So that organization can survive lockdown period. And to support we can provide mechanism Trade Receivable Discounting system where suppliers, buyers and financiers are registered. Suppliers list their invoices raised on large form, the large form authenticat these invoices and financiers take over the Receivable pay the suppliers.
Farmers should be supported in terms of labour cost, purchase commitment and reasonable credit support.
PM’s Rolls Out package is not clear about disbursement method.
Nitya Nand Singh
Adityapur
