Atmanirbhar Bharat and the Innovation App Challenge

Shatabdi Mazumder
Jul 9, 2020  
Atmanirbhar Bharat and the Innovation App Challenge
Image source: Google

The Prime Minister of India, Narendra Modi in his address to nation on 12.05.2020 announced an economic stimulus package for Rs 20-lakh-crore (estimated at 10% of the GDP), towards building a Atmanirbhar Bharat. The Package is to cater to various sections including cottage industry, MSMEs, labourers, middle class, and industries, among others.

The Five Pillars of Atmanirbhar Bharat:

  1. Economy - an economy that brings Quantum Jump rather than Incremental change.
  2. Infrastructure - an infrastructure that became the identity of modern India.
  3. System - A system that is driven by technology which can fulfil the dreams of the 21st century; a system not based on the policy of the past century.
  4. Demography - Our Vibrant Demography is our strength in the world's largest democracy, our source of energy for self-reliant India.
  5. Demand - The cycle of demand and supply chain in our economy, is the strength that needs to be harnessed to its full potential.

The Five phases of Atmanirbhar Bharat are:

  • Phase-I: Businesses including MSMEs
  • Phase-II: Poor, including migrants and farmers
  • Phase-III: Agriculture
  • Phase-IV: New Horizons of Growth
  • Phase-V: Government Reforms and Enablers

Few of the reforms for MSME are:

Emergency Credit Line to Businesses/MSMEs from Banks and NBFCs up to 20% of entire outstanding credit as on 29.2.2020

  1. Borrowers with up to Rs. 25 crore outstanding and Rs. 100 crore turnover eligible
  2. Loans to have 4 year tenor with moratorium of 12 months on Principal repayment
  3. Interest to be capped
  4. 100% credit guarantee cover to Banks and NBFCs on principal and interest
  5. Scheme can be availed till 31st Oct 2020
  6. No guarantee fee, no fresh collateral to the tune of Rs 3 lakh crores for MSMEs. Collateral free loan to be provided to SMEs with 12 month moratorium.
  7. 45 lakh units to benefit.

Rs 20,000 crores Subordinate Debt for Stressed MSMEs

  1. For stressed MSMEs, provision of Rs 20,000 crore subordinate debts for equity support announced. 2 lakh MSMEs likely to benefit.
  2. Functioning MSMEs which are NPA or are stressed will be eligible
  3. Govt. will provide a support of Rs. 4,000 Cr. to CGTMSE. CGTMSE will provide partial Credit Guarantee support to Banks
  4. Promoters of the MSME will be given debt by banks, which will then be infused by promoter as equity in the Unit.

Equity infusion

For MSMEs who may be doing viable business but need handholding because of current situation, the govt announces Rs 50,000 crore equity infusion via 'fund of funds'. This will be operated through 'mother fund' and a few 'daughter funds'.

Other Measures:

  • For NBFCs/MFIs, govt to launch Rs 30,000 crore special liquidity scheme. Rs 45,000 cr Partial Credit Guarantee Scheme 2.0 for NBFC.
  • To support Discoms, a one-time provision by PFC and REC to infuse Rs 90,000 crore liquidity for Discoms against receivables.
  • All contractors engaged by the govt will be given an extension of up to 6 months. Government agencies to partially release bank guarantees, to the extent contracts are partially completed, to ease cash flows.
  • To help destress developers, the urban development ministry will issue advisory to states and UT, where in their regulatory authorities be asked to extend registration and completion date for all registered projects expiring on or after March 25, suo moto by 6 months.
  • TDS and TCS rates cut 25% for 2020-21. The rates of Tax Deduction at Source (TDS) for non-salaried specified payments made to residents and rates of Tax Collection at Source (TCS) for the specified receipts shall be reduced by 25% of the existing rates. Payment for contract, professional fees, interest, rent, dividend, commission, brokerage, etc. shall be eligible for this reduced rate of TDS. This reduction shall be applicable for the remaining part of the FY 2020-21.
  • All pending refunds to charitable trusts and noncorporate businesses & professions including proprietorship, partnership, LLP and Co-operatives shall be issued immediately.
  • Due date of all income-tax return for FY 2019-20 will be extended from 31st July, 2020 & 31st October, 2020 to 30th November, 2020 and Tax audit from 30th September, 2020 to 31st October, 2020.
  • Date of assessments getting barred on 30th September,2020 extended to 31st December,2020 and those getting barred on 31st March,2021 will be extended to 30th September, 2021.

Atmanirbhar App Innovation Challenge

In addition to all these reforms, recently, Prime Minister Narendra Modi has launched the Aatm Nirbhar Bharat App Innovation Challenge. This challenge is to identify Indian apps that are already used by people of the country and which have the potential to become world class apps in their category.

In a tweet, the Prime Minister said, "Today, the tech and start-up community is very excited to create the World Class- Made in India App. The Ministry of Electronics and Information and Technology and the Atal Innovation Mission are launching the Self-reliant India App Innovation Challenge to bring their ideas and products to the fore. ”

The Prime Minister said, "This challenge is for you if you have such products or if you feel that you have a vision and expertise to make such products. I urge all my friends in the tech community to participate in it. I do. "

In order to create a better environment for Indian app development, Atal Innovation Mission - Ministry of Electronics and Information Technology in association with NITI Aayog has launched the Digital India Self-Dependent India App Innovation Challenge for Indian tech entrepreneurs and start-ups.

This innovation challenge will be completed in two steps:

The Track 1 App Innovation Challenge will identify better Indian apps that people are already using and have the potential to improve a bit as well as the ability to become a world class app in their category. Keep it This innovation challenge will create an environment for app development in the country with cash prizes and incentives to showcase the app on the leader board.

This challenge has been started under the theme-

'Make in India for India and the World'

That is, construction in India for the whole world including India. This challenge will be completed in a month.

Track 2 of the self-reliant India App Innovation Challenge will work to identify Indian start-ups / entrepreneurs / companies and bring those new ideas, incubation, prototyping and use. It will encourage you to move forward. This track will run for a long time.

These 8 ways apps will be selected under Self-Dependent India App Innovation Challenge Track 1:

Apps for office productivity and work from home

  • Social networking app
  • E-learning
  • Entertainment app
  • Health and wellness
  • Businesses including Agritech and Fin-Tech
  • News
  • Sports app

The Innovation Challenge will be available from 4 July 2020 at innovate.mygov.in/app-challenge. The last date for submission of applications is 18 July 2020. The applicant has to log on to the portal www.mygov.in to submit his proposal and register and apply online.

There will be a special jury for scooting of the applications you will get for making applications; there will be educators and people from the private sector. The shortlisted app will be rewarded. They will also be shown on the leader board for the information of citizens. The government will also adopt the selected apps, to further promote them the government e-marketplace (GEM) will also be listed.

Through this challenge, the government is trying to carry forward its vision of self-reliant India and Swadeshi. Let’s Join!