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Budget 2023: Govt must navigate deftly to help MSMEs improve their scale, profitability, longevity

By Samir Sathe

Ease of doing business for MSMEs | Budget 2023: Impending global slowdown and mild recession, de-escalation of Russia-Ukraine crisis, stabilisation of commodity and currency cycles, inward-looking policy framework of the governments, India’s current and potential participation in global decision-making platforms such as G7/20, Asia’s significance in global geo-eco-political interactions, India’s competitive position against China, rise in terrorism and national security threat after a relatively quiet period of 2020-2022, rising social and political domestic affairs related implosion forecasts, climate vagaries and the ever-increasing skewness in the economic, social, psychological and physical health of the country. Seems daunting, huh?

The true potential of MSMEs remains on paper and has not been realised yet. Several attempts in the last decade have been around addressing the basic efficiencies and solving manufacturing, infrastructure, and financing bottlenecks. The current wave of policymakers with the National Entrepreneurship Mission attempting to make startups and MSMEs realise their true potential is the right direction for the nation. Here’s what could and should MSMEs expect from union budget in 2023?