Micro, Small and Medium Enterprises (MSMEs) can now seek redressal from a special centre which will be announced shortly if banks deny loans without valid reasons, said Union Finance Minister Nirmala Sitharaman.
Speaking about the Union Budget 2020-2021 to traders and industry the minister said that a copy of the complaint should be handed over to the bank’s branch manager.
Sitharaman stated that foreign exchange reserves were high as the fundamentals were good and the recent budget addresses the concerns of all sections of the society. The government is focusing on creating assets and investing in infrastructure.
She further added that earlier banks used to disburse loans through phone banking which led to lending based on favouritism and high non-performing assets (NPAs). It took us four long years to set the house in order. We have learnt lessons on how to prevent such situations.
The government has curbed unnecessary spending and is investing in infrastructure which will yield good results.
