The Bombay Chamber of Commerce & Industry on behalf of its MSMEs members has prepared few recommendations to minimize the adverse implication of lock down of Industry in the wake of COVID-19.
A few urgent recommendations are as below:
a) Support from respective banks in paying Salary and Wages for next 2-3 months.
b) Auto extension and/or enhancement of working Limit viz. CC/OD facility with an additional 30% on current limits till the next FY year ending 31-03-2021 waiving any further collateral.
c) Since the organisations are locked, minimum charge of Electricity Bill should be waived.
d) Specific Relief announcements for MSME manufacturing sector towards super fast receivables from Corporates & Govt. Sectors to bridge cash flow deficit.
e) Support to temporary and low wage workers in the form of food coupons by the government.
f) The government support and incentives should be sector specific. The manufacturing sector to be impacted the most.
g) Since the cheque clearance system has stopped, many MSMEs will not have access to internet banking, there has to be a solution to this.
h) Rebate on Income Tax both corporate & personal to the tune of 50% of the accruals for FY 19-20 & 20-21 to set off losses arising due to lock down.
i) Rebate on the interests @ 50% on borrowing of all Business Loans taken by MSME from 15-03-2020 till Lock down period.
j) Govt. to clear all pending bills as early as possible.