Micro and trading MSMEs need targeted govt support: Equitas SFB MD

The Managing Director of Equitas Small Finance Bank has emphasised the need for targeted government support for micro and trading MSMEs, which form a significant part of India's economy.

The MD suggested that the government could explore options for subsidising interest on loans to these segments, thereby reducing the cost of borrowing and improving their access to credit. Such measures would help micro and trading enterprises overcome financial constraints and scale their operations.

The remarks highlight the challenges faced by smaller businesses in accessing affordable credit despite the availability of various government schemes. Targeted interest subsidy programmes could enable these MSMEs to invest in growth and improve their competitiveness.