Abstract
Micro, small and Medium Enterprises (MSMEs) are the backbone of India’s economy, contributing significantly to employment generation, industrial output, and exports. With over 6.3 crore MSMEs operating across the country, this sector provides employment to more than 11 crore people and contributes around 30% to India’s GDP. MSMEs are especially important in supporting rural and semi-urban development, helping to reduce regional inequalities and promote inclusive growth.
In recent years, the Indian government has introduced various schemes and reforms to boost MSME growth, such as the Udyam Registration portal, Emergency Credit Line Guarantee Scheme (ECLGS), PMEGP, and MUDRA loans. These initiatives aim to provide easier access to credit, promote ease of doing business, and encourage innovation and digital adoption.
Despite their potential, MSMEs, face several challenges including limited access to finance, outdated technology, low productivity, and lack of skilled manpower. Strengthening infrastructure, improving credit facilities, enhancing digital literacy, and promoting export-oriented strategies can empower Indian MSMEs to compete globally.by addressing these gaps, MSMEs can significantly contribute to economic resilience, job creation, and sustainable development in the coming years.