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22 JUN,2020 | MEDC
The MSME sector faces an increasingly uncertain future in the post-lockdown period. Probably the biggest challenge is the lack of adequate signals from ground-level data in the sector. The larger the firm, the better is its perceived health, as it is more likely to have the financial wherewithal to survive these trying times. Even as the government has announced changes in the classification of MSMEs, policymakers need to understand the impact of the pandemic on each separate category of firms. The majority of MSMEs are currently in survival (as opposed to investment) mode. A reality that most MSMEs will need to accept in the post-lockdown period is their commitment to a digital change, in a world that will continue to observe social distancing. Those MSMEs who are willing to alter the way they conduct their daily business will find the going easier than others.
*Photo Credit: Google
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