Expressing optimism, the Reserve Bank of India (RBI) Governor Shaktikanta Das has said that the manufacturing sector and micro, small and medium enterprises (MSME) are spearheading economic growth in the country after the outbreak of Covid-19 while many contact-intensive services sub-sectors remain severely affected by the crisis.
Shaktikanta Das further said the Production Linked Incentive (PLI) Scheme aims to make India an integral part of the global value chain. He also added that this along with reforms in labour market can go a long way in propelling growth to an elevated trajectory for the manufacturing sector and reap its employment potential.
Besides, he said that the sector was rendered especially vulnerable by the pandemic, necessitating concerted efforts to combat the stress and focus on revival of the sector. The government introduced two major schemes: the Emergency Credit Line Guarantee Scheme (ECLGS) and the Credit Guarantee Scheme for Subordinate Debt (CGSSD).