India is witnessing a tremendous growth in start-ups. There are many entrepreneurs who are utilising the economic opportunities available today.
Union Finance Minister Arun Jaitley said that the country was witnessing a start-up revolution and to harness the potential of India’s innovators and entrepreneurs, a vibrant financial ecosystem was essential, reports The Hindu.
While inaugurating the India Aspiration Fund and SIDBI ‘Make in India’ Loan for Enterprises (SMILE), Mr Jaitley said:
“The Government is trying to bridge the gap between policy and implementation. India Aspiration Fund is intended to play a vital role in this financial ecosystem.
India Aspiration Fund, is a fund-of-fund managed by Small Industries Development Bank of India (SIDBI), which looks into the promotion, financing and development of the Micro, Small and Medium Enterprises (MSME) sector.
Jaitley also launched two funds by Small Industries Development Bank of India (SIDBI), with a total corpus of Rs.12,000 crore.
The Finance Minister said:
“Fund amounting to Rs.20,000 crore has been sanctioned by the MUDRA Bank and we are targeting to take it to Rs.1 trillion. India is an inspirational country and the entrepreneurs are doing a wonderful job. With the launching of these schemes, we are adding fuel to that.”
According to a SIBDI release, the SMILE scheme has been launched to provide soft loans in the nature of quasi-equity and term loans on relatively soft terms to MSMEs to meet the required debt-equity ratio norm as also for pursuing opportunities of growth by existing MSMEs.