New Delhi, Oct. 9 -- The Union Cabinet on 6 October approved a Rs.10,000 crore SME Growth Fund (SGF) to support India's small business sector through equity investments. The fund aims to help firms expand, strengthen domestic manufacturing and increase their participation in global value chains.

Mint explains how the initiative seeks to address a funding gap for India's micro, small and medium enterprises (MSMEs), which rely heavily on bank loans for capital.

The Union Cabinet on 6 October approved the Rs.10,000 crore SME Growth Fund to support small and medium enterprises (SMEs) through equity investments. The broader objectives are to help these businesses scale up, participate in global value chains and strengthen India's domestic ma...