PHD Chamber of Commerce and Industry today urged the government to devise an insurance scheme for MSME sector on the lines of schemes such as National Health Mission to protect it from unforeseen happenings in the future.
The chamber has also demanded that credit guarantee scheme applicable for the MSME segment be updated and modernised by raising the limit under credit guarantee scheme from existing Rs 2 crore to Rs 10 crore.
In a statement, the chamber pointed out that with the rollout of so many insurance schemes to cover vast segment of industrial activities, the MSME segment is virtually bereft of any insurance scheme resulting into its constriction in terms of expansion of industrial activities and therefore, time has come that the government awaken to the fact that without a suggested insurance protection to MSMEs, its expansion would be difficult.
The recommendations were made during a Seminar on Debtors and Industry Protection Through Insurance Need of MSME Sector organised by PHD Chamber here.
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