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RAMP Scheme: Cabinet approves Rs 6062.45 crore for new programme to bolster MSMEs
The RAMP scheme aims to provide support to the MSME sector.
Highlights
- The RAMP scheme was announced by Finance Minister Nirmala Sitharaman during her 2022 budget speech.
- The programme also aims to strengthen institutions at the Centre and state levels.
New Delhi: Prime Minister Narendra Modi-led Union Cabinet, on Wednesday (March 30), approved the Raising and Accelerating MSME Performance (RAMP) scheme with a financial outlay of Rs 6,062.45 crore ($808 million).
Out of the total outlay of Rs 6,062.45 crore, about Rs 3750 crore would come as a loan from the World Bank while the Indian government will provide a fund of Rs 2312.45 crore. The government is expected to roll out the RAMP scheme in the financial year 2022-23.
What is RAMP Scheme?
Assisted by the World Bank, the RAMP scheme aims to provide support to the MSME sector. The scheme will add to the efforts of the Ministry of Micro, Small, and Medium Enterprises (MoMSME) to bolster small, micro, and medium enterprises.
The RAMP scheme, which was announced by Finance Minister Nirmala Sitharaman during her 2022 budget speech, will improve access to the market and credit. The programme also aims to strengthen institutions at the Centre and state levels.
The scheme will also work towards addressing issues related to delayed payments to support the MSMEs, gaps in skill development, technological upgrades, marketing and outreach programmes.
Benefits of RAMP Scheme
RAMP programme will complement the Central government’s Atma Nirbhar Bharat mission to improve manufacturing in the country. The scheme aims to improve innovation and bring production to par with global standards. Also Read: 7th Pay Commission: Govt employees' DA hiked by another 3%, cabinet gives nod
Overall, a total of 63 million MSMEs are expected to benefit from RAMP. The scheme will provide an increased focus on 5,55,000 MSMEs for boosting their performance. Also Read: PM KISAN eKYC deadline extended till 22 May 2022: Details here
Result Areas of RAMP
RAMP programme will focus towards these two result areas:
1. Strengthening Institutions and Governance of the MSME Program
2. Support to Market Access, Firm Capabilities, and Access to Finance
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