Parliament Question: Performance of MSMEs

GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES LOK SABHA UNSTARRED QUESTION NO. 2089 TO BE ANSWERED ON: 12.02.2026 PERFORMANCE OF MSMEs 2089. DR. ALOK KUMAR SUMAN: Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state: (a) the present status of Micro, Small and Medium Enterprises (MSMEs) in the country, including their contribution to employment, production, exports and GDP; (b) the Union Government schemes and initiatives being implemented to promote MSMEs, startups and entrepreneurship including financial assistance, credit support and technology adoption; (c) the measures taken to improve ease of doing business, reduce regulatory compliance burden and facilitate market access for MSMEs; (d) whether any steps have been undertaken to promote skill development, capacity building and innovation among MSMEs, particularly in rural and semi-urban areas; (e) the mechanisms in place to ensure monitoring, timely delivery of benefits and grievance redressal for MSMEs; and (f) the additional policy, financial and institutional measures proposed to further strengthen the MSME ecosystem, enhance competitiveness, promote sustainable growth and create employment opportunities nationwide? ANSWER MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE) (a): The Ministry of MSME launched Udyam Registration Portal (URP) on 01.07.2020 to facilitate ease of registration for MSMEs. Government launched Udyam Assist Platform (UAP) on 11.01.2023 to bring Informal Micro Enterprises (IMEs) into the formal ambit. As per data available on Udyam, since inception of the Portal till 09.02.2026, more than 7.68 crore MSMEs including IMEs are registered and have reported an employment of more than 33.82 crore. The share of MSMEs in overall merchandise exports was 48.55% in FY 2024–25 (in USD value terms). The MSME sector contributed 31.1% to GDP in FY 2023–24. (b) to (f): The Central Government supplements the efforts of the State/UT Governments through various schemes, programmes and policy initiatives for development and promotion of MSMEs, startups and entrepreneurship in the country. This inter alia includes initiatives for providing financial assistance, credit support and technology adoption through Schemes like Prime Minister’s Employment Generation Programme (PMEGP), Credit Guarantee Scheme (CGS) for Micro & Small Enterprises (MSEs), equity infusion through Self Reliant India (SRI) Fund, Micro & Small Enterprises Cluster Development Programme (MSE-CDP), MSME Champions Scheme, Raising and Accelerating MSME Performance (RAMP), Tool Rooms & Technical Institutions known as Technology Centres (TCs) etc. Benefits under these are available to all eligible MSMEs throughout the country.: 2 : The Ministry of Micro, Small and Medium Enterprise (MSME) has taken several steps to improve ease of doing business, reduce regulatory compliance burden, facilitate market access etc., for MSMEs, which are given below: i. Launch of Udyam and Udyam Assist Platform. ii. Government e-Marketplace (GeM) is one of the digital platforms facilitating Public Procurement related transactions of MSME with government and cooperative buyers. Through URP, an MSME can link with GeM platform and participate in Government procurement. iii. Further, Udyam Registration portal has been integrated with portals of National Career Services, e-Shram of Ministry of Labour & Employment and Skill India Digital Portal. iv. Inclusion of Retail and Wholesale traders as MSMEs w.e.f. 02.07.2021 for Priority Sector Lending. v. Non-tax benefits extended for 3 years in case of an upward change in status of MSMEs. vi. Launch of SAMADHAAN Portal for filing of grievances and monitoring of outstanding dues to the Micro and Small Enterprises from the buyers of goods and services. To promote skill development, capacity building and innovation among MSMEs in the country , including in rural and semi-urban areas under Entrepreneurship Skill Development Programme(ESDP) Scheme of the Ministry of MSME basic and advanced entrepreneurship training is provided to help entrepreneurs to improve their personal entrepreneurial skills and upscale their business or enterprise. In addition under the PM Vishwakarma Scheme, the components include Skill Upgradation component wherein the beneficiary is provided basic and advanced skill training and on successful completion of the skill training, the beneficiary becomes eligible for availing other scheme benefits. The MSME Innovative Scheme (Incubation, Design and Intellectual Property Rights) has been launched with an objective to promote innovations in the complete value chain from developing ideas into innovative applications through incubation and design interventions. The Ministry of MSME, in order to help the MSMEs to grow technologically and to enhance their competitiveness, has established Technology Centres (TCs) and Extension Centres (ECs) across the country. These TCs/ECs provide various services like technology support, skilling, incubation and consultancy to MSMEs and skill seekers. To ensure monitoring and grievance redressal for MSMEs an online Portal “Champions” was launched by the Ministry in June, 2020 to cover many aspects of e-governance including redressing grievances and handholding of MSMEs. To further strengthen the MSME ecosystem, enhance competitiveness, promote sustainable growth and employment opportunities, as additional policy measures the following announcements have been made in Budget 2026: i. Equity Support:  A dedicated Rs. 10,000 crore SME Growth Fund.  Top up of Self-Reliant India Fund with Rs. 2,000 crore. ii. Liquidity Support through TReDS. iii. Government to facilitate Professional Institutions to develop ‘Corporate Mitras’ especially in Tier-II and Tier-III towns, to help MSMEs meet compliance requirements at affordable costs. *****