Have Over 34 Crore Jobs Been Created in MSMEs?
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Synopsis
The Union Minister Jitan Ram Manjhi announced that over 34 crore jobs have been created in MSMEs since 2014, highlighting the government's commitment to strengthening this vital sector. With increased access to financial support, the MSME sector is poised for significant growth, driven by reforms and innovations.
Key Takeaways
- Over 34 crore jobs created in MSMEs since 2014.
- Government's focus on strengthening the MSME sector.
- New loan support schemes and financial assistance programs.
- Revised definitions of MSMEs to promote growth.
- Significant improvements in access to formal credit.
New Delhi, July 21 (NationPress) Since 2014, more than 34 crore individuals have found employment in micro, small and medium enterprises (MSMEs) via the Udyam and Udyam Assist portals, as stated by Union Minister Jitan Ram Manjhi in the Rajya Sabha on Monday.
The Minister of MSMEs responded to an MP’s inquiry on the floor of the House, indicating that there is no lack of funds and that workers from small enterprises, such as cobblers, have received financial support through various initiatives, including the PM’s Vishwakarma scheme.
The government views the MSME sector as the backbone of India’s manufacturing and industrial advancement, with a focus on reinforcing this sector to foster inclusive growth.
A major decision was made to update the definition of MSMEs after 14 years, removing concerns among MSMEs about losing government benefits as they expand.
The number of MSMEs in India has surged to over 6 crore, creating millions of job opportunities. The definition of MSMEs has been broadened to facilitate easier access to loans.
Recently, PM Modi noted that a decade ago, MSMEs secured loans totaling approximately Rs 12 lakh crore, which has now escalated to around Rs 30 lakh crore.
Additionally, the Prime Minister announced in the budget that the guarantee cover for MSME loans has been doubled to Rs 20 crore. Customized credit cards with a limit of Rs 5 lakh will also be introduced to cater to working capital needs.
Meanwhile, NITI Aayog has published a comprehensive report aimed at unlocking the significant potential of India’s MSMEs through systematic reforms in financing, skill development, innovation, and market access.
The report emphasizes that India's MSMEs can become a pivotal driver of sustainable economic growth by focusing on targeted interventions, fostering robust institutional collaborations, and enhancing global competitiveness.
One significant finding from the report indicates a marked improvement in MSMEs' access to formal credit. From 2020 to 2024, the percentage of micro and small enterprises obtaining credit through scheduled banks rose from 14 percent to 20 percent, while medium enterprises increased from 4 percent to 9 percent.
Point of View
The emphasis on MSMEs showcases the government's recognition of their vital role in economic recovery and job creation. By enhancing support mechanisms and redefining criteria, the nation is ensuring a more inclusive growth trajectory, pivotal for sustainable development.
NationPress
21/07/2025
Frequently Asked Questions
How many jobs have been created in MSMEs since 2014?
More than 34 crore jobs have been created in MSMEs through the Udyam and Udyam Assist portals since 2014.
What financial support is available for MSMEs?
MSMEs have access to financial assistance through various programs, including the PM’s Vishwakarma scheme and increased loan guarantees.
What changes have been made to MSME definitions?
The definition of MSMEs was revised to eliminate concerns of losing government benefits as they grow, promoting better access to loans.
What is the current loan amount provided to MSMEs?
Loans to MSMEs have increased from approximately Rs 12 lakh crore to around Rs 30 lakh crore in the past decade.
How has access to credit for MSMEs improved?
Access to formal credit for micro and small enterprises rose from 14 percent to 20 percent between 2020 and 2024.
