Editorial

Self-reliant Assam: From vision to venture

While distributing the first tranche of funds to over 25 thousand selected young entrepreneurs under the ‘Chief Minister’s Atmanirbhar Asom Abhiyan’ on September 30

Sentinel Digital Desk

Bijendra Gogoi

(bijendragogoidme@gmail.com)

While distributing the first tranche of funds to over 25 thousand selected young entrepreneurs under the ‘Chief Minister’s Atmanirbhar Asom Abhiyan’ on September 30, Chief Minister Himanta Biswa Sarma made a very significant comment on the importance and potential of entrepreneurship. In a nutshell, Sarma said that government jobs guarantee a regular monthly salary to the employees, but often it clips the wings of their dreams. On the contrary, entrepreneurs have unlimited opportunities to pursue their dreams. Therefore, the youth should shift their focus from being job-seekers to being self-reliant to create job opportunities not for themselves alone but for others as well.

The Government of Assam has already provided regular employment to more than 1.25 lakh youth since May 2021. In addition, the recruitment process is currently underway for 12,600 Class III and Class IV posts in the state, while advertisements for various departmental posts have also been published. About 11 lakh youths have applied for the Class III and Class IV posts. From the number of applicants, it is quite clear that despite its strong goodwill, in a state like Assam, the government can never provide government employment to all the youth. So there is only one option left, and that is to increase self-employment opportunities for the youth.

Although entrepreneurship has gained popularity in our country in recent times, the concept of entrepreneurship has been in practice for a long time. Today, entrepreneurship has become a powerful asset of the country’s economy. It contributes significantly to a country’s Gross Domestic Product and strengthens the foundation of self-reliance by reducing the country’s dependence on imported goods and services. Most importantly, entrepreneurs create jobs and help improve a country’s per capita income. It also encourages the economic independence of individuals and paves the way towards fulfilling their dreams.

In view of this, the ‘Chief Minister’s Atmanirbhar Asom Abhiyan’ is a timely initiative that aims to enable unemployed youth to become self-reliant in various sectors, including trade, manufacturing, services, food processing, handloom, handicrafts, agriculture, animal husbandry, fisheries, and dairy, by providing them with the necessary resources, guidance, and support. The scheme sets a target to provide self-employment opportunities to 2 lakh eligible youth within the next two years. The first tranche of Rs 75,000 was disbursed to 25,238 selected entrepreneurs on September 30. The second phase of the mission was launched on October 18, under which 75 thousand beneficiaries will be selected. This means that the number of beneficiaries in both phases combined will exceed one lakh. Under the scheme, selected beneficiaries in professional sectors like engineering, medicine, agriculture, veterinary science, fisheries, etc. will receive Rs 5 lakh each and other beneficiaries in non-professional course categories will receive Rs 2 lakh each. Of this amount, 50% has been provided as subsidy and the remaining 50% as interest-free loan. The interest-free loan will have to be repaid by the beneficiaries in monthly installments. After the expiry of the moratorium period, which is the first five years, the loan is to be repaid in equal installments over the next five years. The Chief Minister’s Atmanirbhar Asom Abhiyan will infuse new life into the state’s economy as a total of more than Rs 2,000 crore will be released to one lakh entrepreneurs in both phases of the mission.

Under the mission, arrangements have been made to ensure training of the entrepreneurs and provide them with hands-on guidance. The beneficiaries will receive training on finance, business opportunities, legal requirements, taxation, MSMEs, etc., along with sector-wise exposure. Further, 130 CM Fellows will also be engaged, who will play a crucial role in providing hand-holding support to the beneficiaries. They will mentor unemployed youth and guide them in planning and developing their ideas into viable enterprises. Under such a well-planned initiative, the young entrepreneurs are expected to bring an unprecedented wave in the small and medium-sized enterprises (SMEs) sector of the state in the coming days.

Presently, the number of SMEs in Assam has increased to about 5.78 lakh. About 20 lakh people are currently employed in about 5.67 lakh small-scale industries in Assam. These figures demonstrate the importance of the small-scale industry sector in the economy of Assam. The banking sector also plays an important role in the development of SMEs in Assam. As of March 31, the amount of loans disbursed by banks to the SME sector in Assam increased by about 22 percent over the previous year. Bank loans worth Rs 37,000 crore are currently being used in SMEs in Assam. The bank loans to SMEs as of March 31 this year stood at Rs 29,400 crore. The Credit Guarantee Scheme launched by the Government of Assam has been very effective in providing loans to entrepreneurs by banks in the state. About 34,000 SMEs in the state have benefitted under this scheme in 023–24. Under the scheme, the government has covered guarantees of about Rs 3,700 crore to industries.

The youth of Assam have recorded remarkable progress in the field of start-ups also. According to official data, the state government has provided market linkages, investor linkages, mentoring, etc., to about 500 startups. Collectively, all the start-ups incubated at Assam Startup—The Nest have attracted around Rs 100 crore in external funding, fuelling their growth trajectory. In the last financial year alone, the start-ups generated over Rs 40 crore in revenue, creating nearly 4,900 direct and indirect jobs and positively impacting the lives of 14 lakh individuals. To further promote the technology-based start-ups, the Assam government has proposed to set up two new incubation centres at Assam Engineering College and Jorhat Engineering College, which will further promote technology-based start-ups in the region.

To realise the government’s vision for a self-reliant Assam and to accelerate the implementation process, the entrepreneurs selected under the Chief Minister’s Atmanirbhar Asom Abhiyan should also focus on getting bank loans for their enterprises. To move ahead in this direction, they should take the step for formalisation of their industries and commercial projects by registering them on the Udyam Portal. The state government’s initiative to empower the next generation as leaders of the entrepreneurship movement through this scheme will inevitably bring about a positive change in the economy of Assam. However, to lead this economic resurgence, the youth must develop the essential business skills that will make their ventures into successful enterprises.