The Indian economy relies substantially on its micro, small and medium enterprises for employment and revenue. Thus, it has enforced several subsidy schemes to benefit the small scale business sector. Such schemes should result in the prosperity of the sector while encouraging individuals to delve into self-employment opportunities as well.
MSME and its role in these schemes
MSME full form is Ministry for micro, small and medium enterprises. This ministry is responsible for maintaining and ensuring the welfare of India’s SME sector. It is the government body that introduces the various schemes to promote the growth of small-scale businesses. Some of the schemes include –
- Scheme of Fund for Regeneration of Traditional Industries – A scheme that offers training, marketing service, business facilities, and much more to the village and rural enterprises.
- Udyogini – This is a scheme that promotes women empowerment, along with SME growth. Only women entrepreneurs are liable to receive subsidies under this scheme, which looks to encourage self-sufficiency in rural women.
Due to these schemes and many others, availing a business loan is no longer a hassle for small-scale enterprises. The subsidies severely restrict interest rates, leading to more convenient repayment for such businesses.
