Over the years, MSMEs have been battling to get loans, given their inability to produce relevant assets as evidence. The current gap between the demand and credit supply within the Indian MSME sector is about $230 billion, says a study by the World Bank. The much-awaited interim budget 2019 will determine the extent to which the Government will help this sector expand. The past four years have witnessed the implementation of several measures to uplift the MSME sector, especially given the rise in the previous year’s budget to Rs. 6,552.61 crore and other measures such as debt restructuring and the 59-minutes loan portal.

With digitization disrupting the Indian ecosystem in multiple dimensions, one can expect a hike in the rate of digital adoption by MSMEs

With digitization disrupting the Indian ecosystem in multiple dimensions, one can expect a hike in the rate of digital adoption by MSMEs, when given the right amount of funds and focus to secure their transactions and businesses online. This involves an increase in investment in the digital lending sector, to help lending platforms fuel the growth of digital SMEs and MSMEs.


Sampad Swain, Co-Founder & CEO, Instamojo


“At Instamojo, we support MSMEs that want to go digital and enable safe and secure payments for all their transactions. MSMEs continue to remain hopeful of a reduction in the GST rates and the benefit of tax holidays. This initiative can largely be beneficial to MSMEs, who are bound by the limited access to funds for business operations,” said Sampad Swain, Co-Founder & CEO, Instamojo.