Will ask firms to clear Rs 40,000-cr MSME dues fast: FM Nirmala Sitharaman

NBFCs with a minimum rating of 'AA' are allowed to participate in the scheme.

The government will ask big corporates to expedite clearing dues worth Rs 40,000 crore to micro, small and medium enterprises (MSMEs), Finance Minister Nirmala Sitharaman said on Monday. 

The government will also tweak a scheme for providing a one-time credit guarantee to public sector banks (PSBs) for purchase of pooled non-banking financial companies’ (NBFC) assets to allow more NBFCs to participate in it. 

“The corporate affairs ministry has a complete list of companies, which have stated that they owe MSMEs nearly Rs 40,000 crore. We are taking a two-pronged approach so that before Diwali, MSMEs will get the dues,” Sitharaman