National Level Learn-shop on development of the MSME ecosystem organised by SIDBI and Grant Thornton Bharat (its PMU)

Aligned to AKAM celebrations, SIDBI along with its Project Management agency Grant Thornton (GT), organized on 30th June 2022, a National Level “Learn-shop” (Virtual programme) on the development of the MSME ecosystem. The objective was to learn and share good practices aligned to cluster-centric development thus maximizing adoption and adaptation.

The keynote was delivered by Shri S. Ramann CMD, SIDBI, who said that there is a need to keep vibrancy in enterprise development models. He mentioned that SIDBI has prioritized cluster development themes but can only evolve sustainable strategies in coordination with stakeholders, the key being state governments. He called upon all stakeholders to walk together for the overall development of the MSME ecosystem in the country.

Earlier, while welcoming participants from over 20 state governments, Shri V. Satya Venkata Rao DMD illustrated SIDBI’s role in strengthening the enterprise value chain in cooperation with state governments. He also highlighted about SIDBI Cluster Development Fund Scheme which is supporting State Governments in building MSME Cluster Infrastructure. Furthermore, Prof. V. Padmanand, Partner, Public Sector Consulting, Grant Thornton Bharat elaborated on the key interventions and best practices that evolved as a result of SIDBI’s engagement with various state governments/UTs through the deployment of PMU (Grant Thornton Bharat). The Guest of Honor, Shri D.K. Singh, IAS, Secretary-General, NHRC spoke on the existing gaps in the MSME ecosystem and the means and ways to bridge the same.

The themes of the Panel Discussion included: Apt credit instruments for MSMEs; convergence of State/ GoI Schemes for hard infrastructure/ SIDBI Cluster Development Fund -SCDF, Policy & Schemes to strengthen the MSME Ecosystem, Procurement of service providers; empowering through digitization and Institutional capacity building of line departments and Industry Associations as the state level (Cluster development, twinning with GoI Schemes, Technology Business Development Services).

Few states are laying thrust on mini-cluster development schemes thus fostering micro and rural enterprises. Some have evolved state-level credit guarantee funds. Sessions on digitization validated that it’s a great enabler and can deepen access to credit and non-financial services. States are focusing on unserved/underdeveloped areas where SCDF-like schemes complementing MSE-CDP and other GoI PPP-based schemes can benefit from valuable support. In brief, convergence, connection and consolidation through clusters shall be a mainstay in the coming times.

Capacity building of state-level value chain actors is identified as the crucial missing link. Building the digital capacity of all stakeholders for effective delivery of available state, central and institutional benefits for MSMEs was identified as a crucial connection. Tamil Nadu took the participants through its integrated access model for MSMEs by leveraging the CGTMSE model, platforms such as TREDS and PSB59 platform set up under the leadership of SIDBI. The importance of convergence of Central Govt schemes of MSECDP, SFURTI and leveraging SIDBI SCDF for the overall development of MSME clusters was highlighted by panellists. Financial Institutions mentioned their thrust on cluster-based financing instruments learning from the initiatives of many state governments on establishing raw material banks and cluster-based financial instruments.

SIDBI apprised about its initiative on Swavalamban Connect Kendra where handholding to youths for converting dreams into the enterprise is being facilitated in 100 districts. SIDBI also apprised states about its end-to-end solution on credit access through its operating offices and it is prioritizing the cluster-centric, green embed enterprise development.

In addition to a total of 28 distinguished experts in the MSME ecosystem domain who served as the panellists, distinguished personalities including Shri DPS Kharbanda, IAS – Director, Technical Education and former Director of Industries, Government of Punjab, Shri Anthony De Sa, IAS – Former Chief Secretary, Government of Madhya Pradesh and Shri Meenakshi Sundaram, IAS – Secretary to Hon’ble Governor of Assam and former Commissioner of Industries, Government of Assam provided their expert inputs on best practices evolved for transforming MSME landscape in the country. Representatives of industry and government from 20 states attended the pioneering programme.

Disclaimer : This is an official press release by SIDBI.