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

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

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 Small Enterprises (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.