- Export Promotion:
- MSMEs contribute 40% to exports.
- The new definition excludes export turnover from limits, encouraging more exports.
- They can tap into global markets and expand their reach.
- Employment Generation:
- MSMEs provide large employment opportunities.
- They do so at comparatively lower capital cost than large industries.
- They employ more than 11 crore workers.
- They help in industrialization of rural & backward areas.
- This reduces regional imbalances and ensures equitable income distribution.