The MSMEs need measures to address the funding gap the sector faced, said the president of the Coimbatore District Small Industries Association M. Karthikeyan, at a pre-budget meeting organised by the Union Finance Minister Nirmala Sitharaman in New Delhi on Wednesday (November 12, 2025) with MSME associations.
The MSMEs need ₹30 lakh crore, according to a Reserve Bank of India report. The number of new loan accounts has reduced. And, the fund requirement of the MSMEs in the manufacturing sector is higher, he said.
The Association also sought a subsidy for MSMEs that want to go in for rooftop solar systems. The MSMEs faced labour shortage, and hence those who go in for automation should be encouraged. Investment in capital should include these and the MSMEs should get 12-year-loan at low interest rates.
According to M.P. Muthurathinam, president of the Tiruppur Exporters and Manufacturers Association, the Association said at the meeting that banks should extend loans to MSMEs at lower interest rates, and the government should announce a special package to revive the MSMEs that are sick.
Issues related to banking, bank guarantees, and the impact of quality control orders were also highlighted by the MSME associations, seeking remedial measures.
The Finance Minister has assured to organise a separate meeting with bankers to discuss the issues related to banking that the MSMEs faced, Mr. Karthikeyan said.
Published – November 13, 2025 02:02 am IST
