New Delhi: The Union Cabinet on Monday approved Rs 20,000 crore subordinate debt for distressed Micro, Small and Medium Enterprises, said Union Minister Prakash Javadekar. It will benefit two lakh such units.
Javadekar was addressing a press conference along with Union Minister Nitin Gadkari and Narendra Singh Tomar.
He said, ” Various key steps have been taken by the government to boost MSMEs. A decision has been taken to infuse Rs 20,000 crore into this sector.”
“MSME’s play a crucial role in building a Atma Nirbhar Bharat. Accordingly, MSMEs have been made an important part of Atma Nirbhar Bharat Abhiyan package,” added Javadekar.
Subordinate debt is a debt owed to an unsecured creditor that in the event of liquidation can only be paid after the claims of secured creditors have been met.
