Mamata dismisses debt scare, says Bengal attracting business with MSME push

Kolkata: West Bengal Chief Minister Mamata Banerjee on Wednesday asserted that the state has emerged as the commercial capital of eastern and northeastern India, driven by strong MSME-led growth and its strategic geographic location.

Addressing a programme of the Confederation of West Bengal Traders Association here, Banerjee rejected what she termed “ignorant” allegations that the state’s debt has mounted to nearly Rs 7 lakh crore.

She, however, did not reveal the exact amount the state owed.

Apparently countering the opposition’s claim of an economic collapse marked by mounting debt and a flight of business from the state, she said, “Some people only spread negativity. The reality is very different.”

The CM said critics should note that West Bengal operates strictly within the Fiscal Responsibility and Budget Management (FRBM) framework while continuing development work despite large pending central dues amounting to Rs 1.97 lakh crore.

“We have to run all projects even when the Centre does not pay our dues,” she claimed.

Emphasising the role of micro, small and medium enterprises and the neighbourhood shops, Banerjee said MSMEs and these local shops were the backbone of the economy and key to employment generation.

“Small is beautiful. MSMEs keep the economy moving,” she said, adding that policy support has helped reduce unemployment and expand credit to small traders.

Citing official data, the chief minister said the state’s exports have crossed Rs 1.15 lakh crore, while the number of registered companies has exceeded 2.5 lakh, which, she said, contradicts claims of business flight.

She said that West Bengal was ahead in agriculture and remained a leading producer across commodities, from jute to rice.

More than 93 lakh MSME units are operating in the state, Banerjee said, adding that West Bengal’s performance on ease of doing business has improved as per national rankings.

She also highlighted that logistics has been accorded industry status to improve competitiveness and support businesses in the state.

On industrial preparedness, Banerjee said the state has developed over 200 industrial parks to create a ready land bank, announced six economic corridors, and expanded railway coach manufacturing for Metro projects.

“From Purulia to the Sundarbans, logistics costs will come down and industry will benefit,” she said, underlining Bengal’s strategic location.

The CM also announced trade and export facilitation centres in Kolkata and Siliguri, along with a business-to-business hub to channelise trade.

"Our strategic location makes West Bengal the natural gateway to eastern and northeastern India," Banerjee said.

All geographical indication (GI) products will be showcased to boost exports, supported by training initiatives, she said.

The chief minister announced the setting up of a West Bengal Traders’ Welfare Board and a single-window interface involving district chambers to resolve small business issues.

She also launched a state trade portal to address payment delays. Registered MSMEs will be able to access funding from 72 banks and financial institutions through bill discounting mechanisms, Banerjee added.

Flagging emerging challenges from technology, she cautioned about potential job losses due to artificial intelligence, and urged industries to factor this in, stressing the continued need for human touch and reliability.

Banerjee said the state currently runs 95 social security schemes covering citizens “from birth to death” and asked entrepreneurs to “dare to dream”, stressing that no work is below dignity.

Seeking an end to what she termed a negative narrative, the chief minister alleged that AI-generated visuals were being circulated to falsely portray other states or countries as West Bengal.

She announced that the state will offer plots for trade and business centres free across districts, with 10 more plots to be announced on Thursday. “If Bengal changes, the country will change,” the chief minister said.

Banerjee said the Special Intensive Revision (SIR) process may cause “harassment” for people for one or two more months, but asserted that governance will not be affected.

She was apparently referring to the hearing process that will begin as part of the SIR, following publication of the draft electoral rolls in which around 58 lakh names have been deleted across the state.