Corona Economic Package: Efforts to infuse power distribution companies, Government will provide 90 thousand crores cash

By Shivani Reddy On May 14, 2020

Between the corona virus infection and lockdown, the government announced an economic package of 20 lakh crore rupees. These packages are for different regions. Explaining this package in detail on Wednesday, Union Finance Minister Nirmala Sitharaman has said that there is a serious crisis before the power distribution companies. In order to overcome the crisis, the electricity distribution companies will be provided with emergency cash of Rs 90,000 crore. Apart from this, the Finance Minister has said many other big things.

The Finance Minister further said that direct help is being provided to people’s accounts. Six major steps have been taken for MSMEs. Nirmala said that MSME will be given an unsecured loan of Rs 3 lakh crore. 4.5 million MSMEs will benefit. The Finance Minister said that RBI will bring more money in the market in the coming days. He said that RBI maintained liquidity in the market. He said that MSAEs employ more than 120 million people. There will be an automatic loan. No guarantee will have to be given. Its time limit will be 4 years. Principal will not have to be repaid in the first year.

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He said that this would benefit all types of MSMEs. The Finance Minister further said that MSME will benefit if business is more. Despite high investment, the status of MSME will remain. In spite of high turnover, MSME status will remain. The Finance Minister said that companies with an investment of 1 crore will continue to be micro units.

The Prime Minister announced on Tuesday
Prime Minister Narendra Modi in his address to the country at eight o’clock on Tuesday night announced Rs 20 lakh crore for the country to improve the economic conditions caused by the corona virus. PM Modi said that this economic package will serve as an important link for ‘Self-reliant India campaign’. Announcing the economic package, PM Modi said, ‘Recently, the government had made the economic announcements related to the Corona crisis, which were the decisions of the Reserve Bank. Adding to the economic package that is being announced today, it is about 20 lakh crore rupees. This package is about 10 percent of India’s GDP.

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