In the past few decades, the Micro, Small and Medium Enterprises sector has had a significant role to play in the growth of India’s economy.
With a substantial contribution to the country’s GDP and several other aspects, India’s growth is heavily reliant on the progress of this particular sector.
MSMEs in the country constitute enterprises in both manufacturing and services sector, whose growth have contributed to several aspects of the country’s prosperity.
For instance, this sector has generated record employment opportunities, has propagated growth of the country’s indigenous industries, as well as, reduced regional imbalance by boosting industrialisation of the rural and backward regions of the country.
Thus, the contribution of MSMEs has been enormous in boosting the country’s GDP and fostering socio-economic development.
Such a sizeable contribution of MSMEs, however, would not have been possible if the sector had not received proper financial backing through government schemes and otherwise.
Like, business loans offered by financial institutions across the country have been extremely effective in aiding smaller businesses to boost their growth and productivity simultaneously.