India’s MSME sector faces a formal credit gap of around Rs 60 lakh crore, with existing institutional channels meeting only 30-40 per cent of the debt demand of smaller enterprises, a report said.
However, the report said a centralised interoperable digital layer designed to seamlessly connect key economic stakeholders — including businesses, banks, financiers, payment providers and public systems could help bridge the credit gap of MSMEs, while unlocking productivity across the country’s formal business sector.
India’s business sector accounts for more than Rs 130 lakh crore in economic activity and around 45 per cent of the country’s gross value added (GVA).
The report prepared by Bain & Company-NPCI Bharat BillPay Ltd identified a connected digital ecosystem as one of four key enablers that can help unlock its full potential.
The report released at the Global Fintech Fest noted that implementing a centralised interoperable layer built on standardised APIs would digitise the …
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