Question : Impact of Demonetisation on MSME Sector

(a) whether there has been decline in revenue of the key Micro, Small and Medium Enterprises (MSMEs) post demonetization ion in the country;

(b) if so, the details thereof along with the steps taken/proposed to be taken by the Government to revive the said MSMEs in the country including West Bengal;

(c) whether the Government proposes to provide any compensation to protect the interest of the labourers who have lost their jobs due to demonetization in MSME sector; and

(d) if so, the details thereof and if not, the reasons therefor?

MINISTER OF STATE (INDEPENDENT CHARGE)
FOR MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI GIRIRAJ SINGH)

(a): As per the Paper on preliminary assessment of the impact of demonetisation, brought out by the RBI in March, 2017, demonetisation had impacted various sectors of the economy in varying degrees; however, in the affected areas, the adverse impact had been only transient, and felt mainly in November and December 2016. The impact moderated significantly in January 2017 and dissipated by and large by mid-February, 2017, reflecting the fast pace of remonetisation.

(b): To reinvigorate the MSME Sector all over India including West Bengal, steps have been taken to improve access of Micro, Small and Medium Enterprises (MSMEs ) to credit & other support services.

(c)&(d): There is no compensation package for labourers planned by Ministry of Micro, Small and Medium Enterprises.