The role of digital technologies in enhancing enterprise performance is underscored by a recent SBI Research report, revealing a 76% increase in labor productivity linked to information and communication technology (ICT) adoption. Analysis of the Annual Survey of Unincorporated Sector Enterprises (ASUSE 2025) by the National Sample Survey Office (NSSO) indicates that beyond productivity gains, ICT adoption also elevates the likelihood of firm registration by an average of 84 percentage points.
Sector-wise, the impact of ICT adoption is notably positive and statistically significant across various sectors, including manufacturing (64 percentage points), Trade (82 percentage points), and other services (86 percentage points). Registered enterprises exhibit a 6.90 percentage points higher probability of accessing credit compared to non-registered entities, as highlighted in the report.
The report further reveals that female proprietary enterprises face a 2.44% lower probability of accessing formal credit compared to male counterparts. Additionally, registered enterprises secure an average loan amount of Rs 5 lakh, significantly higher than the Rs 75,000 for unregistered enterprises.
Government-linked registration systems play a crucial role in fostering formal business practices, enabling access to loans from formal sources. Notably, Udyam Assist-registered enterprises lead with 15.92 points, followed by Udyam registered enterprises (15.45 points) and GST registered enterprises (13.51 points) compared to unregistered entities.
In terms of loan amounts, unregistered enterprises average around Rs 3 lakh, while registered entities secure Rs 5.5 lakh, and Udyam and Udyam Assist registrations receive Rs 10 lakh. The report recommends enhancing affordability of ICT technologies, proposing a scorecard for Udyam registered enterprises and emphasizing the importance of maintaining audited bookkeeping to formalize operations.
The number of unincorporated establishments has seen a rise from 7.34 crore in 2023-24 to 7.92 crore in 2025, reflecting a growth rate of 7.9% compared to the previous period. Rural enterprises experienced a 19.1% growth, increasing from 3.56 crore to 4.24 crore, while urban enterprises showed a stronger growth rate of 25.2%, rising from 2.94 crore to 3.68 crore.
Worker numbers have also increased, from 12.06 crore in ASUSE 2023-24 to 12.8 crore in ASUSE 2025. Rural employment surged by 14.5% (from 5.24 crore to 6 crore), with urban employment witnessing an 18.7% increase (from 5.73 crore to 6.80 crore).
