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Nirmala Sitharaman unveils strategic measures for MSME development
May-26-2026

With an aim to strengthen the MSME ecosystem, enhance last-mile credit delivery and accelerate the modernization of rural industries, Union Minister for Finance and Corporate Affairs, Nirmala Sitharaman has launched a set of strategic portals and initiatives. Minister said that MSMEs contribute nearly 35 per cent of manufacturing output, 48 per cent of exports and around 31 per cent of India’s GDP. She also noted that the sector comprises over 7.47 crore entrepreneurs and provides employment to more than 32 crore people across the country.

The key initiatives launched by the Finance Minister include SIDBI-RRB Co-Lending Platform, a digital joint lending model designed to enhance MSME credit penetration in semi-urban and rural areas by combining SIDBI’s MSME expertise and digital capabilities with the grassroots outreach of Regional Rural Banks. Besides, Modernization of Rural Enterprises (MoRE) Programme was unveiled which is a cluster-based intervention providing credit and credit-plus support to modernise rural enterprises engaged in non-farming activities such as jaggery units, oil expellers, pottery units, flour mills and brass artisan enterprises.

Apart from this, Sitharaman has also launched Micro Credit Card Scheme for Micro Enterprises, a scheme enabling Udyam-registered micro enterprises to access revolving credit of up to Rs 5 lakh with 75 per cent guarantee coverage and without mandatory primary security. Another major initiative launched was SIDBI MSME Exchange - Machinery Portal, a technology-driven digital platform integrating machinery discovery with institutional financing support to accelerate MSME capital investment and technology adoption.


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