Budget View by Mr Umesh Revankar MD, Shriram Transport Finance Company Ltd
“Small Businesses have been major contributors to the country’s growth, but hardly have they been recognized as credit worthy for all these years. The government’s initiative to have Micro Units Development Refinance Agency (MUDRA) Bank, with a corpus of Rs 20,000 crore, credit guarantee corpus of Rs 3,000 crore, making MUDRA a refinancer to all Micro-finance Institutions and last but not the least with lending priority given to SC/ST enterprises is a huge step in addressing the needs of these largely neglected entrepreneurs who are the real face of ‘Make In India’.
We also appreciate that the government’s comforting view towards the NBFCs as an important element in the country’s financial system. We welcome the government’s measure to consider NBFCs registered with RBI having asset size of Rs 500 crore and above for notifications as ‘Financial Institution’ in terms of the SARFAESI Act, 2002. This is extremely positive for the NBFC sector as it empowers us to attach the property of intended or willful defaulters, thereby arresting losses.”