Taken together, both GSTN and UPI will enable lending to the much neglected MSME sector and significantly accelerate the goal of financial inclusion
For India’s credit-starved micro, small and medium-sized enterprises (MSMEs), the Goods and Services Tax (GST) might unlock a new source of credit. Organizations like the Federation of Indian Small and Medium Enterprises (FISME) estimate that only around 5% of MSMEs access institutional funds through banks and financial institutions. In the absence of funding from mainstream financial institutions, most Indian MSMEs have to rely on the informal lending sector, or their own internal accruals, or borrowing from friends and family, for growth capital.
Recommended For You
Select your Category
Internet Not Available
Wait for it…
Log in to our website to save your bookmarks. It'll just take a moment.