New Delhi, July 2: In a major move to support traders in the country, the government has revised guidelines for micro, small and medium enterprises (MSME) to bring retail and wholesale trade under their ambit.

Noting that retail and wholesale trade were left out of the ambit of MSMEs, Union MSME Minister Nitin Gadkari, in a string of tweets, said: "Under the revised guidelines, MSME has issued order to include retail and wholesale trade as MSME and extending to them the benefit of priority sector lending under RBI guidelines."  Latest News | RBI Asks Banks to Watch Retail, MSME Credit; Shore Up Capital Buffers

"Under the leadership of PM Narendra Modi, we are committed to strengthening of MSME and make them engines for economic growth. The revised guidelines will benefit 2.5 Cr Retail and Wholesale Traders."

With the revised guidelines, the retail and wholesale trades will be now be allowed to register on Udyam portal.

In a statement in response to the decision, the Confederation of All India Traders (CAIT) said that the traders of the country are in a jubilant mood because of their inclusion under the definition of MSME.

CAIT Secretary General Praveen Khandelwal said the decision of the government will benefit about more than eight crore small businesses of the country.

Resurgent India Managing Director Jyoti Prakash Gadia described the move as a path-breaking decision, which will have a positive and lasting impact on the economy.

"This will enable them to become a major part of the mainstream economy facilitated by the availability of credit from banks on a priority basis at cheaper rates," he said.

(The above story first appeared on LatestLY on Jul 02, 2021 04:42 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).