MSME Sector in Tamil Nadu
In Tamil Nadu MSMEs sector produces a wide variety of products in almost all fields. The prominent among them are the textile, electronic products, engineering products, auto ancillaries, leather products, chemicals, plastics, garments, jewellery etc. There are 12.94 Lakh registered number of units of MSMEs in the State, providing an employment opportunities to about 81 Lakh people. (source cms.tn.gov.in - 12.12.2017)
Government of Tamil Nadu launched “New Entrepreneur-cum-Enterprise Development Scheme(NEEDS)”withaviewtoencouraging the educated youth to become the first generation entrepreneurs. The Scheme envisages providing entrepreneurship development training to educated young entrepreneurs, preparing business plans and helping them to tie up with financial institutions to set up new business ventures, besides linking them with major industrial clients.
There are many Banks and Financial institutions which provide financial assistance to Micro Small and Medium Enterprises and start-ups.
1. Public sector banks (e.g) State Bank of India, Indian Bank, Indian Overseas Bank Canara Bank
2. Private sector banks (e.g) ICICI, Axis Bank, City Union Bank, HDFC, Karur Vasya Bank, Tamilnadu Mercantile Bank
(e.g) Pandian Rural bank, Pallavan Rural Bank, Vallalar Rural Bank
(e.g) TNSC Bank, District Central Co operative Banks
(e.g) MUDRA Bank
(e.g) National Small Industries Corporation Ltd (NSIC)
Small Industries Development Bank of India (SIDBI)
The Government of India has launched MUDRA Bank with a capital amount of Rs. 20,000 crore, and credit guarantee corpus of Rs. 3,000 crore, to help Micro Small and Medium Enterprises (MSMEs) and startups to resolve problems relating to financing.
MUDRA Bank refinances micro-Finance Institutions through a Pradhan Mantri Mudra Yojana (PMMY). These measures will greatly increase the self confidence of young, educated or skilled workers who would now be able to aspire to become first generation entrepreneurs.