Banks Need to Support MSMEs, Startups in Northeast: Reddy

MSMEs are the backbone of the economy, and banks should support them and startups in the northeast, Minister of Development for the North Eastern Region G Kishan Reddy said on Friday. Addressing the ‘Northeast Banking Conclave’ here, Reddy said the northeastern region has unique challenges, which require innovative practical solutions.

Stressing that the connectivity and transport infrastructure have improved in the region, he said all state capitals should be connected by Railways by 2024. There has been an increase of 113 per cent in air traffic through 17 airports in the region, including 3 international airports.

Speaking at the event, Minister of State for Finance Bhagwat Karad said the Prime Minister has decided to improve the per capita income of the people of the northeastern region. Government schemes for financial inclusion are doing well and there is an increase in credit growth by 85 per cent.

He asked bankers to improve banking infrastructure in the region and also open digital banking units.

Addressing the delegates, Minister of State for North Eastern Region BL Verma said banks and financial institutions play a critical role in implementing the financial inclusions.

Lok Ranjan, Secretary, Ministry of Development of the North Eastern Region, said that there is a need for more directed resources for accelerated development of the region.

It is necessary to tap into more financial resources for the northeast region and there is a conscious effort to work with various stakeholders so that various resources are channelised towards the development of the region, Rajan said.

The ministry would like to collaborate with banks to know the challenges in this journey of the development of the northeastern region, he assured senior management of banks.

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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)