New Delhi, Feb. 13 -- The Parliamentary Standing Committee for Finance has underlined the critical role of Micro, Small and Medium Enterprises (MSMEs) as the backbone of the Indian economy and called for a more comprehensive, innovation-led strategy to strengthen the sector.

The Committee observed that a holistic framework encompassing finance, technology, capacity building and infrastructure is essential to ensure sustainable and competitive growth of MSMEs.

The Committee noted the expansion of the Credit Guarantee Scheme, with the ceiling raised from Rs 5 crore to Rs 10 crore from April 1, 2025. Between 2022-25, additional guarantees worth Rs 6.12 lakh crore were extended to MSEs, benefiting over 56 lakh units and boosting credit flow...