Prime Minister Dr Manmohan Singh has urged the industry associations and chamber of commerce to come forward with innovative solutions to address constraints in the development of the Micro, Small and Medium Enterprises, MSME, sector. Addressing a MSME National Awards function in New Delhi today, Dr Singh also asked them to provide constructive inputs for policy formulation and implementation. Stating that strong performance of the Micro, Small and Medium Enterprises is necessary to achieve rapid and inclusive growth, he said the government's initiatives could succeed only with the participation of the private sector and the civil society.

The Prime Minister informed that the UPA government has taken a series of steps to remove the constraints that impede faster development of the vital sector. He emphasised the need for promoting the exports from the sector.

Micro, Small and Medium Enterprises Minister K H Muniyappa said his ministry is implementing a comprehensive reform package for the Khadi sector through Asian Development Bank funding. He said the package includes up gradation and capacity building of three hundred Khadi institutions and improved marketing with the financial assistance of 950 crore rupees. The Minister requested the Prime Minister to waive off the outstanding loans of Khadi and Village Industries Commission to make it debt free.