Package for Rural India & Migrant Workers

Direct Support to Farmers & Rural Economy

  • 3 crore farmers  with agricultural loans  of Rs. 4.22 lakhs crore availed the benefit of 3 months loan moratorium.
  • Interest Subvention and Prompt Repayment Incentive on crop loans, due from 1st March, extended up to 31st May, 2020
  • 25 lakh new Kisan Credit Cards sanctioned with a loan limit of Rs. 25,000 cr.

Liquidity Support to Farmers & Rural Economy

  • 63 lakh loans of Rs. 86,600 crore approved in Agriculture between 1.3.2020 to 30.04.2020.
  • Refinancing of  Rs.29,500 crore provided by NABARD, to Cooperative Banks & Regional Rural Banks in March,2020.
  • Support of Rs. 4,200 crore provided under Rural Infrastructure Development Fund to States during March, 2020 for  rural infrastructure
  • Working capital limit of Rs. 6,700 crore sanctioned for procurement of agriculture produce to State Government entities since March, 2020

Support for Migrants and Urban Poor during last 2 months

  • Government of India has permitted State Governments to utilise State Disaster Response Fund (SDRF) for setting up shelter for migrants and providing them food and water etc.
  • Central Government also released Rs 11002 crore of its contribution in advance to all States on 3rd April, to augment funds in their SDRF.
  • Hygienically prepared three meals a day provided for the residents of Shelters for Urban Homeless (SUH) during the lockdown w.e.f March 28, 2020.
  • 12,000 SHGs have produced 3 crore masks and 1.20 lakh litres of sanitizers. This gave additional employment opportunity to the urban poor.
  • Disbursal of Revolving Fund (RF) to Self Help Groups was on-boarded on PAiSA Portal in April 2020 on a pilot basis in Gujarat and is now being rolled out across all the States in May 2020.
  • 7,200 new Self Help Groups of urban poor have been formed during the period starting 15th March, 2020.

MGNREGS support to returning Migrants

  • 14.62 crore person-days of work generated till 13th May 2020
  • Actual Expenditure till date is around Rs. 10,000 Cr
  • Work offered to 2.33 Crore wage seekers yesterday in 1.87 Lac Gram Panchayats
  • 40-50% more persons enrolled, compared to May last year
  • Average wage rate rose to Rs. 202 from Rs. 182 in last FY
  • Drive being undertaken to enroll returning migrants
  • States/UTs advised to provide works to migrant workers as per the provisions of the Act
  • Planning for continuing MNREGA works in Monsoon as well: plantations, horticulture, livestock related sheds

Labour Codes – Benefits for Workers

  • Universalization of right of minimum wages  and timely payment of wages to all workers including unorganized workers – presently minimum wages applicable to only 30% of workers.
  • Statutory concept of National Floor Wage introduced: will reduce regional disparity in minimum wages.
  • Fixation of minimum wages simplified, leading to less number of rates of minimum wages and better compliance.   
  • Appointment letter for all workers- this will promote formalization. 
  • Annual Health Check-up for employees. 
  • Occupational Safety & Health (OSH) Code also applicable to establishments engaged in work of hazardous nature even with threshold of less than 10 workers.
  • Definition of inter-state migrant worker modified to include migrant workers employed directly by the employer, workers directly coming to destination State of their own besides the migrant workers employed through a contractor.
  • Portability of welfare benefits for migrant workers.
  • Extension of ESIC coverage pan-India to all districts and all establishments employing 10 or more employees as against those in notified districts/areas only.
  • Extension of ESIC coverage to employees working in establishments with less than 10 employees on voluntary basis.
  • Mandatory ESIC coverage through notification by the Central Government for employees in hazardous industries with less than 10 employees.
  • Social Security Scheme for Gig workers and Platform workers.
  • Re-skilling fund introduced for retrenched employees.
  • All occupations opened for women and permitted to work at night with safeguards.
  • Provision for Social Security Fund for unorganised workers.
  • Gratuity for Fixed Tem Employment – Provision of gratuity on completion of one year service as against 5 years.  

Free Food grain Supply to Migrants for 2 months

  • Migrants in various states require food-grain assistance
  • Migrants who are neither NFSA or State Card beneficiaries in the state they are stationed will be provided 5 kg of grains per person and 1 kg Chana per family per month for two months
  • About 8 crores migrants are expected to benefit.
  • Rs. 3500  Crore will be spent on this intervention for 2 months
  • Cost will be fully borne by Government of India
  • State Governments responsible for implementation, identification of migrants and full distribution and providing detailed guidelines.

Rs 5000 cr Special Credit Facility for Street Vendors

  • Government will launch a special scheme within a month to facilitate easy access to credit to street vendors.
  • Initial working capital up to Rs. 10,000.
  • Digital payments will be incentivised through monetary rewards and enhanced working capital credit would be made available for good repayment behavior.
  • Will support nearly 50 lakh street vendors
  • Will provide liquidity of Rs 5000 crores

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Prashanti Forex is managed by a certified treasury professional with an experience of more than 15 years in Finance and Advisory Business. His expertise come from various organisations, where he has gained knowledge and deep understanding of financial environment. His Principle Objective is providing customised advise with excellent service, committing a relationship based on integrity, understanding, honesty and trust. We are glad to offer you a boutique of services which will enable your organisation to enhance the profitability and efficiently manage the business risks. Our Services are : Treasury & Risk Management Solutions Trade Finance Wealth Management

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