In a bid to empower micro, small and medium enterprises (MSME) entrepreneurs, Indian Bank recently launched its flagship business mentoring program ‘MSME Prerana' in Maharashtra, which is set to begin in Nagpur, followed by other major cities in the state. Nitin Gadkari, Minister of MSME and Road, Transport, and Highway launched the program, according to a statement shared by Indian Bank. The minister said that the sector contributes 30 per cent to the country's gross domestic product (GDP) and 48 per cent to exports. It has also created as many as 11 crore jobs in India, said Mr Gadkari while addressing the program.
The minister also suggested a rating system for micro, small and medium enterprises (MSMEs) and a dashboard for their effective monitoring and to prevent delays in decision making. MSME Prerana is designed in collaboration with Poornatha and Company to support entrepreneurs in driving business growth by optimizing value and capacity.
As per details shared by the bank, MSME Prerana adopts a step-by-step approach in providing training to understand business numbers, concepts such as balance sheet, cash flow management, managing business during a crisis, decision making, as well understanding government initiatives.
MSME Prerana has extended web-based training to entrepreneurs in local dialects in simple language without jargon. So far, a series of 10 virtual programs have been conducted in Tamil Nadu, Uttar Pradesh, Pondicherry, and some parts of Uttarakhand. The program is spreading the outreach to Telangana, Gujarat, and Andhra Pradesh and will soon conduct sessions in all major languages across the country, in a phased manner.
Indian Bank has provided financial assistance to its 20 lakh MSMEs with a credit exposure of more than Rs. 70,180 crore. The bank's ‘MSME Prerana' is launched with an objective to develop the financial and managerial capabilities of the MSME entrepreneurs, apart from creating awareness on prominent initiatives taken by state governments, Reserve Bank of India, central government, and other such agencies.
Presently, Maharashtra accounts for around 15 per cent of the country's GDP gained through sectors such as entertainment, BFSI, auto & auto ancillary space, textiles. It is also one of the top five states with around 48 lakh estimated MSMEs, according to the MSME annual report by the ministry, said Indian Bank.