MSME Sector Gets Major Boost As FM Calls For Cheaper & Wider Credit Access

India’s MSME sector could be heading for a major transformation. Speaking at SIDBI Foundation Day in Mumbai, Finance Minister Nirmala Sitharaman announced a ₹5,000 crore equity support package for SIDBI, aimed at strengthening credit access for small businesses and startups. The government expects the move to help add 25 lakh new MSME beneficiaries by 2028, while enabling SIDBI to provide wider, cheaper, and more accessible funding. The Finance Minister also called for a strategic shift in SIDBI’s role — from being merely a lender to becoming a market maker and risk-sharing partner for India’s growing MSME and startup ecosystem. With MSMEs contributing nearly 48% of exports and employing over 32 crore people, the announcement signals the government’s continued focus on entrepreneurship, manufacturing, and economic expansion. Watch the full report for key takeaways and what this means for India Inc.