new delhi the governments muchawaited stimulus for micro small and mediumsized businesses is expected to include a provision for additional loans of up to rs 3 lakh crore or 20 of the bank exposure to the sector along with a more liberal dispensation for government contractsin addition more funding for mudra loans meant for tiny businesses are on the anvil government sources told toiread our coronavirus live blog for all the latest news and updatesthe finance ministry has floated a proposal for the cabinet to guarantee fresh working capital limits to small units through the national credit guarantee trustee company so that small businesses are not starved of working capital currently bank exposure to over six crore micro small and medium enterprises msmes is estimated around rs 15 lakh crore sources saidcoronavirus outbreak complete coverageon tuesday the finance ministry said that between march 20 and may 8 staterun lenders contacted 97 of borrowers eligible for emergency credit lines and working capital enhancements and sanctioned loans to the tune of rs 65879 crore but the funding is seen to be inadequate even to pay salaries and other dues given that sales have come to a halt and payments are overdue from large businesses and government departments something that will be pushed by the finance and msme ministries once againmore on covid19coronavirus pandemic complete coveragelockdown 30 whats allowed and whats not in the three zonesits time to mask up and stay safe join tois maskindia campaignmhas guidelines for home isolationtrust the newspaper for your daily verified newsadditional working capital is expected to help banks lend more to provide funds to msmes amid expectations that the finance ministry will prod the reserve bank of india to extend the loan moratorium beyond the current threemonth period so that businesses dont come under pressure to repay dues at a time when liquidity is already tight in absence of salesapart from helping them tide over the immediate cash crunch an announcement on a new definition for msme is also expected to enable them to scale up besides there are indications that government contracts up to a specified value will be given to indian businesses in addition the mandatory procurement from micro and small businesses is expected to be tightly monitoredwatch aim towards a self reliant india pm narendra modi