Union MSME Minister Jitan Ram Manjhi hailed the Union Budget as development-focused and in line with the vision of Viksit Bharat by 2047. He commended Finance Minister Nirmala Sitharaman for prioritizing growth, employment, and entrepreneurship in the budget. Manjhi expressed appreciation for Prime Minister Narendra Modi’s leadership in steering India towards development.
The budget saw an increase in financial support for the MSME sector, with the allocation rising from Rs 23,168 crore in FY 2025–26 to Rs 24,566 crore in FY 2026–27. Manjhi believes that under PM Modi’s guidance, the MSME sector will drive economic growth. He highlighted the special attention given to MSMEs in the budget.
Manjhi lauded the announcement of five major decisions to boost MSME growth, particularly the establishment of a Rs 10,000 crore Growth Fund for equity support. He also welcomed the additional Rs 2,000 crore for the Self-Reliant India (SRI) Fund to enhance micro-enterprises. The Minister emphasized the importance of these steps in expanding the MSME sector and ensuring timely payments.
The reforms in payment mechanisms, including mandatory use of Trade Receivables Discounting System (TREDS) for CPSE procurements, were noted by Manjhi for promoting transparency. He highlighted the introduction of credit guarantees for TREDS transactions and the integration of GeM with TREDS to expedite payments to MSMEs. These changes are expected to address delayed payments and improve the financial stability of MSMEs.
Support for professional institutions like ICAI and ICMAI to develop courses aiding MSMEs in compliance requirements was also acknowledged. Manjhi praised the inclusion of Khadi under the Mahatma Gandhi Gram Swaraj Mission, along with provisions for skill development and global integration. He welcomed the budget’s focus on the textile sector, which is crucial for MSMEs and stands to benefit from the new provisions.
