Financial Express
- Aug 7

MSME sector’s share in India’s GDP drops from over 30%: Govt data

Ease of Doing Business for MSMEs: The share of 6.3-crore strong micro, small and medium enterprise (MSME) sector in the country’s gross domestic product (GDP) dropped from 30.50 per cent during the financial year 2018-19 and FY20 to 26.83 per cent during the first year of the Covid pandemic 2020-21, official data showed. MSMEs’ share in the GDP had earlier increased from 29.25 per cent in FY17 to 29.69 per cent in FY18.

While the data for the previous financial year 2021-22 wasn’t shared by Minister of State for MSMEs Bhanu Pratap Singh Verma in his written reply to the question on the contribution of the MSME sector to GDP in the Lok Sabha on Thursday, the drop in FY21 assumed significance as the government has been looking to boost MSME sector’s overall performance in the coming years.