To help the Micro, Small and Medium Enterprises (MSMEs) with required financial support, Small Industries Development Bank of India (SIDBI) has launched two schemes. One is SHWAS (SIDBI assistance to healthcare sector) and the other is AROG (SIDBI Assistance to MSMEs for recovery & organic growth during COVID-19 pandemic). The schemes have been launched to counter the adverse impact of the second wave of COVID-19.
The schemes are devised under the guidance of the Union government which facilitates funding for production and services related to supply of oxygen cylinders, oxygen concentrators, oximeters and essential drugs.
In the second wave, the massive resurgence of COVID-19 in the country has led to unprecedented burden on health infrastructure of the country. The Centre has taken numerous steps to step up supply of oxygen and essential drugs to hospitals. To ensure that, SIDBI has taken the initiatives for helping MSMEs quickly augment their facilities and augmenting capabilities to fight the pandemic.
A SIDBI official said here on Friday, “The endeavour is to provide credit facilities to deserving MSMEs that have risen to the occasion in helping the citizens in this hour of need by keeping their activities operational and providing healthcare at all levels.”
SIDBI has devised these schemes to help the healthcare service providers in the fight against the pandemic. These schemes envisage 100% funding up to an amount of Rs 2 crore to a MSME unit at an attractive interest rate of 4.50%-6% pa within 48 hours after receipt of all the documents information. Details of the schemes are available on the SIDBI website.
On March 25, 2020, SIDBI had also launched SIDBI Assistance to Facilitate Emergency response against coronavirus (SAFE) scheme to provide financial support to all MSMEs engaged in manufacturing of any product or providing any services which are related to fighting coronavirus (such as, hand sanitisers, masks, body suits, ventilators, testing labs, etc). More than 400 MSME units producing products to fight Covid-19 have been sanctioned financial assistance of Rs 178 crore in 2020-21 under SAFE.