Sick/Closed Industrial Units

A statement showing state-wise position of sick Micro & Small Enterprises (MSEs) as maintained by RBI and sick Medium Enterprises is annexed.

The revised guidelines for rehabilitation of sick units in the MSE sector have been issued by RBI vide their circular RPCD.CO.MSME & NFS.BC.40/06.02.31/2012-13 dated November 1, 2012 which inter-alia provides:

(i)    Introduction of handholding stage to prevent sickness.

(ii)  Banks to decide on the reliefs and concessions for rehabilitation of viable/ potentially viable units based on their own Board approved policies.

(iii) The banks to put in place a non-discretionary One Time Settlement Scheme for recovery of non-performing loans for the Micro & Small Enterprises (MSE) Sector, duly approved by the Board of Directors.

Small Industries Development Bank of India (SIDBI) has also introduced a Scheme for “Management/ Restructuring of Stressed Assets and Rehabilitation Scheme for Micro, Small & Medium Enterprises (MSMEs)”. The Scheme provides for relief and concessions (in the form of re- schedulement, reduction in rate of interest, funding of overdue/ future interest and waiver etc.) as well as need based additional financial assistance for revival of MSME sick units.

Click here to see Annexure.