The recent visit by Union Finance Minister Nirmala Sitharaman to Nagaland and the revelations she made during her stay regarding the various measures and initiatives undertaken for Nagaland along with the other north eastern states as well as the funding scheme with special packages is no doubt wonderful news for a development-starved state like ours.
The government has, over the years, realized that entrepreneurship is an area that needs to be developed for growth and acceleration of the economy of the nation. Entrepreneurship is at the heart of economic development and hence the government has been directing its efforts towards promotion of entrepreneurship in the country with numerous schemes and policies specifically designed to foster entrepreneurial environment and encourage entrepreneurial activities among its citizens.
While research studies on the topic are still sporadic in the state, studies available suggest that dearth of capital is the foremost problem that entrepreneurs face in the course of their establishment and running of business. Reasons may be varied as to the unavailability or inaccessibility of the much needed capital for genuine entrepreneurs.
While it can be seen that there are enough policies and schemes in place to provide assistance to entrepreneurs and grants keep pouring in for its development, ‘lack of capital’ is the most cited problem for potential startups as also for those already engaged in entrepreneurial activities which deters them from expansion and diversification goals.
Besides, awareness of assistance from the government, banking institutions and non-governmental organizations among the entrepreneurs are remarkably low and the rate of assistance received by such entrepreneurs is negligible as per reports. A disconnect is seen between assistance provided and received. Thus, studies are required to probe into the reasons for such gaps and remedial measures undertaken.
Another major bottleneck identified is the lack of basic infrastructure in the form of transport connectivity, logistical support and power supply which poses major marketing and manufacturing problems for entrepreneurs. Such hindrances affect productivity and competitive pricing which puts our entrepreneurs at a disadvantage in the competitive market.
While the recent announcements and revelations made by the Finance Minister is welcome, it is hoped that the funds and resources are disseminated and utilised judiciously and appropriately so that, as intended, infrastructure and social development projects are undertaken and implemented with utmost sincerity and that beneficiaries of various schemes are selected justly and suitably without any bias or discrimination so that the whole purpose of such schemes are achieved. It is hoped that the benefits of such grand grants gets permeated to the entire state and populace and not just a favoured few.