- Moneycontrol
Ease credit woes of MSMEs to boost manufacturing sector growth
The ensuing growth season in India is distinct in bringing manufacturing back to the limelight. While the service sector should remain at the forefront, able support from manufacturing will improve value addition and job creation potential in the economy. Part of such benefits have already started flowing.
To make the growth durable, the benefits need to be optimised. And that would depend heavily on the scalability of the micro, small and medium enterprises (MSME), which form the supply chain to large industries and are the biggest employers. Unfortunately, there exists a serious gap in the area. Exceptions apart, India’s MSME sector is suffering from a plethora of problems, the most critical of them is the lack of easy finance.