New Delhi: A week after announcing the cut in corporate taxes, the government on Friday said it should clear Rs 20,000 crore in dues by the first week of October to MSMEs for supply of goods and services. However, the government aims to ensure there are no dues left, and funds should be cleared swiftly.
“The intention is to ensure no government department is sitting on their dues for goods and services received by it from any vendors or MSMEs,” finance minister Nirmala Sitharaman told reporters after meeting the secretaries and financial advisers of all major ministries on Friday.
Keeping fiscal targets in view, she also said: “I am looking to get expenditure going in the country. Capital expenditure, or capex, is on track as per the budget target. As the government owes only Rs 20,000 crores in dues to MSMEs, I expect it will be released by the first week of October.”
She also said Rs 40,000 crores has been cleared out of the total outstanding dues and the remaining sum, which is not involved in litigation, will be cleared soon.
