New Delhi: In a major relief to the MSME sector facing liquidity shortage, the Centre on Friday announced that all their pending GST refunds will be paid within 30 days.
Speaking to ETV Bharat, Federation of Karnataka Chambers of Commerce and Industry (FKCCI) President, C R Janardhana welcomed FM Nirmala Sitharaman's move that eases financial woes for the MSME sector and nearly 60 lakh people will benefit from this decision.
Janardhana went ahead to express his happiness in the FM's decision of providing GST refunds for micro, small and medium enterprises.
Sitharaman's press conference was exclusively focused on the MSME, auto and the real estate industry.
Janardharna said that the FM has been able to address major issues faced by the MSME sector. Therefore, payments from the corporate sector or from the public sector to the MSME will be cleared within 30 days from the date of their bill.
He also said that all the bills irrespective of the payments have to reach the MSME within 60 days. This will help the industry grow and become a versatile industry.
The government would also consider an amendment to the MSME Act to move towards a single definition.
The MSME sector, which accounts for about 29 percent of the gross domestic product (GDP), is one of the largest job creators in the country.
