MSMEs See Upwards Trend - SIDBI Survey Report

Small Industries Development Bank of India (SIDBI) has launched their MSME survey report, quarterly analysis of MSME business sentiment for the October-December 2024 period.

The report, based on a pan-India survey of 1,200 MSMEs across Manufacturing, Services and Trading sectors, captures business sentiment on 22 critical parameters, including sales growth, profitability, employment trends, financial access, cost of funds and ease of doing business. The survey covered 77 cities (Tier 1, 2, and 3) and 66 villages across India, ensuring a diverse representation of MSME voices.

Survey Highlights

Key findings indicate strong business confidence among MSMEs, particularly in the manufacturing sector reflecting optimism in sales, profitability, skilled labour availability and access to finance for the coming quarters. Additionally, the report highlights a steady rise in digital adoption and sustainability measures across MSMEs.

The survey also highlights - 

• A rising commitment to sustainability, with 39% of MSMEs increasing investments in environmental protection measures such as solar panels, electric vehicles, and new technology during the quarter, and 44% planning to expand such investments in the next year.
• Additionally, 73% of participants found trade receivable timelines acceptable, with 14% noting an improvement from the previous quarter and 38% expecting further enhancements a year ahead.
• Sales growth expectations remain robust, with 43% anticipating expansion next quarter and 45% over the next year, while export optimism has surged from 22% for Oct-Dec 2024 to 36% for Oct-Dec 2025.

Manoj Mittal, Chairman and MD, SIDBI while releasing the report said, “MSMEs serve as the crucial foundation of the Indian economy and a powerful instrument for bringing about socioeconomic change. SIDBI has always acknowledged the incredible contribution of MSMEs in India’s growth story and is committed to the development of the sector through both financial and non-financial initiatives. The importance given to this sector by GOI is also evident from the fact that it has been identified as one of the four growth engines of the economy during the recent union budget. I firmly believe that the continuous flow of quality information on MSMEs through this survey will help all stakeholders in evaluating the current business climate and fine-tune their respective approaches."

Read more from Archana Verma