Mumbai, Feb. 5 -- A report on the latest lending ecosystem in MSMEs has revealed that formal credit penetration to MSMEs is expected to increase as the government acts proactively towards formalisation of Micro, Small and Medium Enterprises (MSMEs).
The report, prepared jointly by U GRO Capital and Dun & Bradstreet, titled 'MSME Sampark Bi-annual report on the latest in MSME lending ecosystem', signals optimism for domestic demand and profitability.
It is highly optimistic of increasing capex and hiring by MSMEs, which bodes well for overall growth momentum.
The study, conducted over a three-year period and involving more than 25,000 MSMEs, has showed a dip in business and sales activity in the year of COVID-19 pandemic, followed by a ma...