Maoist-affected areas to get financial assistance: MSME Ministry

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SME Times News Bureau | 12 Sep, 2014
The Government to give financial assistance to implement Khadi & Village Industry (KVI) Programme in the Hill, Border and Left Wing Extremism Affected Areas (i.e. Maoist-affected areas) under ADB assisted KRD programme, informed the ministry of Micro, Small and Medium Enterprise (MSME) Thursday.

According to a press release of MSME Ministry, "the Government has launched KVI Programme in the Hill, Border & Left Wing Extremism (LWE) affected areas in respect of 100 institutions with financial assistance amounting to Rs.76 crores."

The assistance i.e. Rs.76 lakhs per institution to be met out of the savings of Rs. 134.72 crores within the overall fund of USD 150 million from ADB towards Khadi Reform Development Programme (KRDP).

The KVIC is a statutory body formed by the Government of India. It is an apex organisation under the Ministry of Micro, Small and Medium Enterprises. The KVIC seeks to plan, promote, facilitate, organise and assist in the establishment and development of khadi and village industries in the rural areas in coordination with other agencies engaged in rural development.

Relaxation under the KVI Programme in the Hill, Border & LWE Areas are as follows:-

Relax the criteria about the category of the institutions to be covered under KRDP from A+, A and B category to include C category also.
Relax the condition of Registration of a minimum of 200 artisans with the institution for the Hill, Border & Left Wing Extremism (LWE) Affected areas.

The following conditions are prescribed for the institutions to be assisted in the Hill, Border and LWE affected districts:

The institutions should implement programme in a composite manner i.e. production and marketing.
The institution has to satisfy the categorization norms of KVIC and belong to any of the category among A+, A, B and C.
The institution is willing to strive to provide work to minimum 50 new/additional persons living in that area.
The institution should arrange adequate land or building to accommodate the infrastructure envisaged in the programme.
Preference will be given to institutions engaged in the implementation of Khadi Programme in these areas for at least three years.
The institutions would make payment to the artisans through Bank Accounts / Post office Account.