Dr.Yogesh Shukla
Abstract:
Micro, Small and Medium Enterprises (MSMEs) play a crucial role in the Indian economy by contributing significantly to GDP, employment generation, and exports. The outbreak of COVID-19 in 2020 created unprecedented challenges for the MSME sector, leading to disruptions in production, supply chains, and demand. In response, the Government of India introduced several schemes such as the Emergency Credit Line Guarantee Scheme (ECLGS), Pradhan Mantri Mudra Yojana (PMMY), and the Atmanirbhar Bharat Abhiyan to support MSMEs.
This study examines the impact of government schemes on the growth and sustainability of MSMEs in India up to January 2021. The research is based on secondary data collected from MSME annual reports, government publications, RBI reports, and other scholarly sources. The study uses descriptive and analytical methods to evaluate the effectiveness of these schemes. The findings reveal that government initiatives provided liquidity support, enhanced credit access, and promoted digitalization among MSMEs. However, challenges such as limited awareness, procedural delays, and uneven access to benefits persist. The study concludes that while government schemes played a vital role in stabilizing MSMEs during the crisis, further improvements in implementation and outreach are required for long-term growth.
