Consider the following statements with reference to India:
1. According to the ‘Micro, Small and Medium Enterprises Development (MSMED) Act, 2006’, the ‘medium enterprises’ are those with investments in plant and machinery between Rs. 15 crore and Rs. 25 crore.
2. All bank loans to the Micro, Small and Medium Enterprises qualify under the priority sector.
Which of the statements given above is/are correct?
Answer:
(b)
Core Books/NCERT
st1 wrong. The ‘medium enterprises’ are those with Investment in Plant and Machinery or Equipment: Not more than Rs.50 crore and Annual Turnover ; not more than Rs. 250 crore st2 is debatable / wrong. Because there are internal quotas for example 7.5% loan quota for micro-enterprise. So if more amount of loan is given, it may not be qualifying under PSL. However, this depends on how examiner interpreted it the statement. so have to wait for official answerkey. accordingly answer could be B or C.