Chennai (Tamil Nadu) [India], January 22 (ANI): Bharatiya Janata Party (BJP) spokesperson ANS Prasad on Thursday lauded the Union Cabinet's recent decision to extend equity support to the Small Industries Development Bank of India (SIDBI), claiming that the initiative will emerge as a beacon for welfare and sustainable development.

'Under Prime Minister Narendra Modi's guidance, this initiative promises to uplift Micro, Small, and Medium Enterprises (MSMEs), vital to Tamil Nadu's prosperity, by enhancing employment opportunities and fostering equitable growth,' the BJP spokesperson said in a statement.

Tamil Nadu's thriving sectors, from textiles to technology, are poised to benefit profoundly from the Rs 5,000 crore equity infusion into SIDBI. Structured in phased disbursements, this support will facilitate affordable credit, enabling local entrepreneurs to innovate and expand, thereby contributing to community welfare and regional harmony, he added.

'By fortifying SIDBI's financial foundation, the decision maintains a robust Capital to Risk-weighted Assets Ratio, allowing for expanded lending at favourable terms. For Tamil Nadu's self-reliant business owners and emerging startups aligned with Startup India and Standup India, this means greater access to resources, promoting a balanced and inclusive economic landscape,' Prasad said.

Prime Minister Modi's overarching goal of Viksit Bharat--a developed India by 2047--aligns seamlessly with Tamil Nadu's developmental aspirations, ANS Prasad said.

According to the statement, this equity boost is expected to generate over 1.12 crore jobs nationwide, with Tamil Nadu reaping significant gains, alleviating unemployment and advancing social welfare through targeted support for MSMEs.

The initiative also aims to promote financial inclusion through innovative tools such as collateral-free loans and venture funding, empowering women entrepreneurs and rural industries in Tamil Nadu. Such measures help bridge disparities, nurturing a vibrant entrepreneurial ecosystem that prioritises collective progress.

However, the BJP spokesperson said that realising this potential requires addressing challenges posed by 'certain state-level policies'.

'The current DMK government's approach has been critiqued for prioritising entrenched interests over transparent governance, leading to allegations of corruption that stifle industrial momentum and deter investments,' the BJP leader alleged.

Highlighting that the DMK policies have shown limited enthusiasm for MSME advancement, and often favour large-scale projects while neglecting smaller enterprises, which has hindered innovation and left many entrepreneurs underserved in accessing vital support.

Furthermore, the administration's handling of industrial development has drawn concerns over inefficiencies and favouritism, contrasting with the central government's proactive stance, potentially slowing Tamil Nadu's alignment with national growth trajectories, Prasad claimed.

'Prime Minister Modi's emphasis on collaborative federalism offers a constructive path forward. A double-engine government, harmonising central and state efforts under the National Democratic Alliance (NDA), could enhance efficiency, curb irregularities, and amplify benefits for all sectors,' the statement read.

Tamil Nadu polls are scheduled for the early months of 2026. However, no official schedule has been announced by the Election Commission of India. (ANI)