Re-examine financial sector architecture to build MSMEs better: Pronab Sen

According to Sen, the relationship between a bank and NBFC needs to be not of a borrower and a lender as it is today, but that of a partner

India needs to re-examine the architecture of the financial sector to revive the Covid pandemic-hit micro, small and medium enterprises, said Pronab Sen, economist and former Chief Statistician of India.

Delivering a lecture on “Build Back Better – the Role of Finance” on the occasion of Bandhan Bank’s 7th anniversary, Sen said that India would have to build the MSME sector back. "Let's build it better than what it used to be", he said. "While the corporate sector was performing strongly, the non-corporate sector was not – in fact, it was damaged", Sen added. 

In the recent past, the damage that has