Uttar Pradesh government has decided to exempt interest on the amount payable under all heads from March 22 till June 30, 2020, as a major relief to all industrial and commercial institutions during COVID-19 lockdown.
The nationwide lockdown that was implemented for the prevention of coronavirus pandemic has resulted in the temporary closure of industrial, commercial, and institutional units in India and all over the world. This closure has further impacted the economic activities across the nation.
To overcome these financial crises faced by these units and to spur the economic activity in Uttar Pradesh, the state government has permitted to resume the operational work by certain industrial units with exemption in interest on dues of industrial and commercial institutions of the state for three months.
This exemption is anticipated to offer relief to the industries and enterprises of the state during the current crisis. Moreover, the commercial institutions would be able to resume their operations by following the guidelines issued by the central and state government. This exemption will only be effective for the units that pay their dues by June 30. To avail the exemption, the concerned unit will have to make a request to the Industrial Development Authority online or through email.
The minister has pinned hope that this exemption would provide some relief to the industries and enterprises of the state during the current ongoing economic scenario in the nation. After the nationwide lockdown, the construction activities have come to a halt as the essential materials supply has stopped and there is limited availability of the workforce on the construction site. To overcome these persisting issues in the real estate industry, there is an urgent need for the government to intervene on these matters to prevent these industries from incurring huge losses.