Union Finance Minister Nirmala Sitharaman has made several important announcements for micro, small and medium enterprises (MSME) in Budget 2025. The government has decided to increase the investment and turnover limit by 2.5 times and 2 times respectively to give more strength to the MSME sector. This will help MSME to expand and take their business to the next level.
The Finance Minister informed that the limit of guarantee cover has been increased from Rs 5 crore to Rs 10 crore. This decision will provide more financial security to small and medium industries and they will be able to make big investments to grow their business. Apart from this, loans up to Rs 1.5 lakh crore will be made available, which will give financial strength to the MSME sector and make affordable funding possible for them.
To promote startups, the government has increased the funding limit from Rs 10 crore to Rs 20 crore. This will promote innovation and new entrepreneurship, which will help the Indian economy reach new heights. Along with this, the guarantee fee has also been reduced, which will relieve entrepreneurs from the financial burden and enable them to take advantage of new opportunities.
The MSME sector is currently providing employment to 7.5 crore people, and this new initiative of the government will make it stronger. This step will prove to be an important decision towards encouraging new startups, accelerating the growth of small businesses and creating more employment in the country.
Budget 2025: Kisan Credit Card loan limit increased, Makhana Board will be formed