RGUMY Revival: Scheme to Undergo Transformation For Jumpstarting MSME Sector
RGUMY Revival: Scheme to Undergo Transformation For Jumpstarting MSME Sector
The Rajiv Gandhi Udyami Mitra Yojana or RGUMY has been renamed as the BASP or Business Accelerator and Start-Up Programme. It is being changed to bring out generation of more employment and speed up growth and development in the MSME sector.
Promotion of MSME Enterprises
The Union government has also sought comments on the proposed changes to the programme for enhancing its effectiveness for the promotion of MSMEs or micro, small and medium enterprises. The scheme will be implemented on a pilot basis during the 12th plan. Its primary goal is on the growth of the sector plus the creation of employment.
"The Rajiv Gandhi Udyami Mitra Yojana is being revamped and restructured to make it a more effective tool for promotion of MSMEs. The new scheme called the "Business Accelerator and Start-up Programme (BASP) will aid and assist the developing competitive and resilient new MSEs out of potential entrepreneurs and will also nurture and upscale the existing MSEs through a large range of models for mentoring and advisory support," an MSME Ministry official statement to the media said.
This scheme is oriented towards job creation and growth through the development of resilient and competitive MSMEs or micro, small, and medium enterprises. with entrepreneurs who can establish enterprises through mentoring and advisory support in areas such as production, sales, marketing, registration, statutory compliances and access to finance.
New Additions to the RGUMY
The scheme will also be based on up-scaling and nurturing of the operations of existing micro and small enterprises that have been rated/ assigned moderate or poor ratings. These units will provide mentoring plus advisory support in numerous areas such as technology, finance, marketing and entrepreneurship development.
Business mentors will also be introduced as part of the RGUMY scheme and these will be entrepreneurs/industrialists with around 5 years of experience in running an enterprise or within the MSME sector through the ability to create interventions in fields such as technology, marketing and finance.
About the Rajiv Gandhi Udyami Mitra Yojana
The Rajiv Gandhi Udyami Mitra Yojana will now be implemented by the National Small Industries Corporation which is a CPSE under MSME. This central sector scheme was launched in 2008-2009 and it aims to provide handholding support plus assistance to first generation entrepreneurs. The programmes administered by this scheme include Skill Development Programmes, Entrepreneurship Development Training Programmes and Entrepreneurship cum Skill Development Training Programme through selected lead agencies called Udyami Mitras.
Conclusion
From RGUMY to BASP is a major change. Public comments will be able to provide insights on the direction this change should take. Efforts should also be made to question other stakeholders and experts regarding the implications of revamping the scheme for the betterment of the MSME sector. New changes such as inclusion of experienced mentors are a welcome addition to the scheme.
