According to the ministry, the extension will make it easier for holders of EM Part II and UAMs to take advantage of provisions under various existing schemes and incentives, including MSME Priority Sector Lending benefits.

Also Read: Udyam Registration Process

The government has extended the validity of the Udyog Aadhaar Memorandum (UAM) from March 31 to December 31 in order to provide relief to micro, small, and medium enterprises (MSME) in the face of the Covid situation.

The ministry of micro, small and medium enterprises amended the initial notification, extending the validity of the Enterprise Memorandum (EM) Part II for the same period. According to the government, the extension will make it easier for holders of EM Part II and UAMs to take advantage of provisions under several existing schemes and incentives, including MSME Priority Sector Lending advantages.

"In light of the difficulties suffered by MSMEs during the current Covid-19 crisis, as well as representations received from numerous MSME groups, financial institutions, and government ministries dealing with the MSME Sector's interests," the ministry stated in a statement.

Last June 26, the ministry published a notification revising the definition of MSMEs and introducing Udyam Registration, a new mechanism for MSME registration. The present MSME registration (Udyog Aadhaar Number (UAN) or EM) would become invalid after March 31, 2021, according to the statement.

Furthermore, the ministry stated that existing EM Part-II and UAM holders should be able to move to the new Udyam Registration system, which went live on July 1, 2020, and take advantage of government programs. "Paving the path for MSMEs to be strengthened, resulting in faster recovery, more economic activity, and job creation," the ministry noted.

Interested businesses can register for free and without submitting any papers at https://msme.e-registration.co.in/. For registration on the Udyam site, only your PAN and Aadhaar are necessary.