- The World Bank's Board of Executive Directors has approved a USD 500 million program to support India's nationwide initiative to revitalise the MSME sector.
- The program targets improvements in the performance of 555,000 MSMEs and is expected to mobilise financing of USD 15.5 billion.
Raising and Accelerating MSME Performance (RAMP) Program
- This Program is the World Bank’s second intervention in the Micro, Small and Medium Enterprise sector.
- The first being the USD 750 million MSME Emergency Response Program, approved in July 2020 to address the immediate liquidity and credit needs of millions of viable MSMEs severely impacted by the ongoing COVID-19 pandemic.
Feature of this program
- It will also scale up online dispute resolution mechanisms to address the problem of delayed payments.
- The USD 500 million loans from the International Bank for Reconstruction and Development (IBRD), has a maturity of 18.5 years including a 5.5-year grace period."