Home India Ministry of Micro, Small and Medium Enterprises Ministry of MSME takes various steps for Promotion and Devel...
Date: 2025-08-12 Category: Not Applicable State: Union Government Country: India

Ministry of MSME takes various steps for Promotion and Development of MSME Sector

Issued by Ministry of Micro, Small and Medium Enterprises · Not Applicable

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Executive Summary & Key Takeaways

**Summary:** The Ministry of Micro, Small and Medium Enterprises (MSME) is actively engaged in the promotion and development of the MSME sector through various schemes, programs, and policy initiatives. As of August 4, 2025, the Udyam Registration Portal, including the Udyam Assist Platform, reported 28.73 crore jobs created across India between July 1, 2020, and July 31, 2025. Key initiatives include: * **Udyam Registration:** Implemented on July 1, 2020, to ease the process of doing business for MSMEs. * **Udyam Assist Platform (UAP):** Launched to formalize Informal Micro Enterprises (IMEs) for Priority Sector Lending (PSL) benefits. * **Expanded MSME Definition:** Inclusion of Retail and Wholesale traders as MSMEs effective July 2, 2021. * **Credit Guarantee Scheme Revamp:** Infusion of ₹9,000 crore to facilitate ₹2 lakh crore in additional credit for MSEs and expand employment. * **PM Vishwakarma Scheme:** Launched on September 17, 2023, to provide holistic support to traditional artisans and craftspeople in 18 trades. * **Self Reliant India (SRI) Fund:** Established with ₹50,000 crore for equity funding in high-growth potential MSMEs. * **Collateral-Free Loans:** Loans up to ₹10 crore are available to MSEs with guarantee coverage up to 90% through the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), effective April 1, 2025. * **Trade Receivables Discounting System (TReDS):** Facilitates financing of MSME trade receivables from corporates, government departments, and PSUs. * **PMEGP Enhancement:** Increased maximum project cost under the Prime Minister's Employment Generation Programme (PMEGP) to ₹50 lakh for the manufacturing sector and ₹20 lakh for the service sector. This information was provided by the Minister of State for Micro, Small and Medium Enterprises, Sushri Shobha Karandlaje, in a written reply in Rajya Sabha on August 12, 2025.

Key Entities Referenced

Ministry of Micro, Small Medium Enterprises: The Indian government ministry responsible for the promotion and development of micro, small, and medium enterprises (MSMEs). Udyam Registration Portal: An online portal launched on 01.07.2020 by the Ministry of MSME for MSME registration, with revised criteria for classification of MSMEs. Prime Ministers Employment Generation Programme (PMEGP): A government scheme to generate employment opportunities through the establishment of micro-enterprises. Credit Guarantee Scheme for Micro and Small Enterprises: A scheme providing credit guarantee cover to banks and financial institutions to encourage lending to micro and small enterprises. PM Vishwakarma: A scheme launched on 17.09.2023 to provide holistic benefits to traditional artisans and craftspeople engaged in 18 trades. Udyam Assist Platform (UAP): A platform to bring the Informal Micro Enterprises (IMEs) under the formal ambit for availing the benefit under Priority Sector Lending (PSL). Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE): A trust that implements the Credit Guarantee Scheme, providing guarantees to lenders for loans to MSEs. Sushri Shobha Karandlaje: The Minister of State for Micro, Small and Medium Enterprises.
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Ministry of Micro,Small & Medium Enterprises Ministry of MSME takes various steps for Promotion and Development of MSME Sector 28.73 crore employment reported on the Udyam Registration Portal (including Udyam Assist Platform) in all India from 01.07.2020 to 31.07.2025 Posted On: 12 AUG 2025 5:56PM by PIB Delhi The government helps in establishment, promotion and development of MSMEs through its various schemes, programmes and policy initiatives across the country. These schemes/ programmes, inter-alia, include Prime Minister’s Employment Generation Programme (PMEGP), Credit Guarantee Scheme for Micro and Small Enterprises, Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), Entrepreneurship Skill Development Programme (ESDP), Procurement and Marketing Support Scheme (PMSS), Raising and Accelerating MSME Performance (RAMP), International Cooperation scheme, Tool Rooms, Technology Centre System Programme (TCSP), National SC/ST Hub (NSSH), MSME Champions, PM Vishwakarma, etc. Udyam Registration Portal was launched on 01.07.2020 with the revised criteria for classification of MSMEs. As on 04.08.2025, the employment reported on the Udyam Registration Portal (including Udyam Assist Platform) in all India from 01.07.2020 to 31.07.2025 was 28.73 crore. The Ministry of MSME has taken various steps for the promotion and development of the MSME sector. Some of these are detailed below. Udyam Registration” for MSMEs, for Ease of Doing Business w.e.f. 1.7.2020. Launch of Udyam Assist Platform (UAP) to bring the Informal Micro Enterprises (IMEs) under the formal ambit for availing the benefit under Priority Sector Lending (PSL). Inclusion of Retail and Wholesale traders as MSMEs w.e.f. 2.7. 2021. Credit Guarantee Scheme revamped with required infusion of funds of Rs. 9,000 crore to facilitate additional credit of Rs. 2 lakh crore for MSEs and expand employment opportunities. Launch of ‘PM Vishwakarma’ Scheme on 17.09.2023 to provide end to end holistic benefits to the traditional artisans and crafts people engaged in 18 trades. Self Reliant India (SRI) Fund has been set up to infuse Rs. 50,000 crore as equity funding in those MSMEs, which have the potential and viability to grow and become large units. Collateral free loan up to a limit of Rs. 10 crore (w.e.f. 01.04.2025) to MSEs with guarantee coverage up to 90%, for various category of loan are provided through Credit Guarantee Fund Trust for Micro and SmallEnterprises (CGTMSE) under Credit Guarantee Scheme. The Trade Receivables Discounting System (TReDS) has been set up to facilitate the financing of trade receivables of MSMEs from corporates and other buyers, including government departments and public sector undertakings (PSUs) through multiple financiers electronically to solve the problem of delayed payment to MSMEs. Enhancement of maximum project cost from Rs. 25 lakh to Rs. 50 lakh for manufacturing sector and from Rs. 10 lakh to Rs. 20 lakh for service sector under Prime Minister’s Employment Generation programme (PMEGP) thus enhancing the scope of the scheme. This information was given by the Minister of State for Micro, Small and Medium Enterprises Sushri Shobha Karandlaje in a written reply in Rajya Sabha today. **** AKS (Release ID: 2155677)

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