$500 million program by World Bank to support MSMEs in India
According to news reports, World Bank has approved a $500 million program to help MSMEs in India to increase liquidity access for viable small businesses impacted by COVID-19.
The MSME sector has been significantly impacted by the COVID-19 pandemic. In the wake of the present challenges, World Bank’s Board of Executive Directors has approved a $500 million program to enable Government of India’s nationwide move to revitalize the sector. MSME sector in India contributes around 30% of India’s GDP and 4% of exports.
The program is aimed at improving the performance of 555,000 MSMEs and is expected to mobilize financing of $15.5 billion, as part of the government’s $3.4 billion MSME Competitiveness – A Post-COVID Resilience and Recovery Programme (MCRRP).