Unlocking MSME potential

Digital tools are crucial for expanding their reach and unleashing growth

The development of micro, small and medium enterprises (MSMEs) has been the centrepiece of India’s economic strategy to achieve inclusive growth and productive job creation. Over the years, different policy initiatives have attempted to encourage and support MSMEs by providing subsidised credit, technical assistance, excise tax exemptions, and preference in government procurement. Despite the multitude of incentives, MSMEs continue to face barriers to growth and experience challenges in accessing finance, markets, skilled labour, and technology. Given these bottlenecks, most MSMEs have struggled to expand, and the enterprise landscape in India continues to be dominated by micro-enterprises that typically create low-paying