The MSME sector is critical in times of Covid-19
While Indian policymakers face the tough task of containing a public health pandemic as well as formulating swift policies to protect the most vulnerable from its adverse economic effect, a committed response to support the MSMEs is essential, imminent and key to easing the impact of the crisis for these entrepreneurs, their employees and the Indian economy as a whole.
A large fraction of India’s firms are small, informal and operate in the unorganized sector. Recent annual reports on Micro, Small and Medium Enterprises (MSMEs) indicate that the sector contributes to around 30% of India’s GDP, and based on conservative estimates, employs around 50% of industrial workers.(REUTERS)