India MSME Financing Market Research Report 2020
Market Reports on India Provides the Trending Market Research Report “MSME Financing Market in India 2020”under Financial Services Category. The report offers a collection of superior market research, market analysis, competitive intelligence and Market reports. India MSME Financing Market Micro, small and medium enterprises (MSMEs) play a pivotal role in the Indian economy. About 63.38 Mn enterprises operational in various industries have provided employment to more than 111 Mn people. The MSME sector accounts for 30% of the country’s GDP, which is likely to touch 50% in 2025. The industry's financing needs depend on the nature, size, customer segments and stage of development of the different businesses. Financial institutions have limited their lending exposure to the Indian MSME industry due to the high cost of service, small ticket size of loans and limited ability of MSMEs to offer immovable collaterals. Request a free sample copy of India MSME Financing Market Report http://www.marketreportsonindia.com/marketreports/sample/reports/2111397 As of 2019, the overall addressable demand for external credit was ~INR 41.64 Tn, while the total supply of fund stood at INR 13.54 Tn. Therefore, the credit gap in the MSME industry accounted for ~INR 28.10 Tn in 2019. Debt demand of the MSME sector in India: The consolidated debt demand (both short-term and long-term finance) by Indian MSMEs accounted for ~99.39 Tn in 2019. Microenterprise debt demand accounted for INR 13.32 Tn, small enterprise accounted for INR 24.57 Tn, and medium enterprise accounted for INR 3.75 Tn of the total debt demand in the industry. Medium and small firms being more formalized in operations are better at securing collaterals with NBFCs and banks than microenterprises. Credit supply to the MSME sector in India: