Study OAS · 27 June 2026

World MSME Day 2026

What’s the News?

World Micro, Small and Medium-sized Enterprises (MSME) Day was observed globally on 27 June to recognise the contribution of MSMEs to economic growth, employment, innovation and sustainable development. In India, the Ministry of MSME commemorated the occasion through the "Udyami Bharat – MSME Day 2026" event, where new digital initiatives and measures to strengthen the MSME ecosystem were highlighted. The event was attended by Vice President Jagdeep Dhankhar, Union MSME Minister Jitan Ram Manjhi, and Minister of State Shobha Karandlaje.

World MSME Day

Theme

"Empowering MSMEs through Innovation and Sustainable Industrial Development."

Objectives

• Recognise the contribution of MSMEs to economic growth and employment.
• Promote entrepreneurship, innovation and digital transformation.
• Improve access to finance, technology and global markets.
• Encourage sustainable and resilient industrial development.
• Highlight the role of MSMEs in achieving the Sustainable Development Goals (SDGs).

Importance of MSMEs in India

Economic Contribution

• Contribute around 30% of India's GDP.
• Account for nearly 36% of manufacturing output.
• Generate about 45% of India's exports.
• Employ over 28 crore people, making the sector the second-largest source of employment after agriculture.
• Comprise more than 6.3 crore enterprises, with the majority being micro enterprises.

Government Initiatives for MSMEs

• Prime Minister's Employment Generation Programme (PMEGP) – Promotes self-employment through credit-linked subsidies.
• Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) – Provides collateral-free credit guarantees.
• Raising and Accelerating MSME Performance (RAMP) – Supports MSME competitiveness, market access and institutional reforms.
• Champions Portal – ICT-based grievance redressal and handholding platform.
• Udyam Registration Portal – Online registration for MSMEs with simplified procedures.
• Public Procurement Policy for MSEs – Mandates procurement from Micro and Small Enterprises by Central Ministries and CPSEs.
• ZED (Zero Defect Zero Effect) Certification Scheme – Encourages quality manufacturing with environmental sustainability.
• MSME Competitive (LEAN, Design, Incubation and IPR Components) – Improves productivity, innovation and intellectual property protection.

Challenges Facing MSMEs

• Limited access to affordable credit.
• Delayed payments from buyers.
• Low adoption of advanced technology.
• Rising compliance costs.
• Supply-chain disruptions.
• Limited integration with global value chains.
• Skill gaps and inadequate digital adoption.

Additional Info

• World MSME Day

  • Declared by the United Nations General Assembly (UNGA).
  • Observed annually on 27 June.
  • Established through UNGA Resolution A/RES/71/279 in 2017.

• Ministry of Micro, Small and Medium Enterprises

  • Nodal ministry for MSME development in India.
  • Implements schemes for credit support, technology upgradation, skill development and market promotion.

• Revised MSME Classification (2020)

Sources

• Zee News