FINTECH SUPPORT FOR MSME EXPORTERS AMID GLOBAL SUPPLY CHAIN DISRUPTIONS

In India, Micro, small, and medium enterprises (MSMEs) alone account for nearly 40 per cent of the GDP and 50 per cent of the nation’s foreign exchange reserves while providing employment to around 110 million people.

- PUSHKAR MUKEWAR,

Despite their significance, MSME exporters face a significant challenge due to traditional credit mechanisms. Banks typically impose stringent conditions such as requiring collateral and three years of profitability, which many MSMEs cannot meet due to limited financial records and unsteady cash flows.

FINTECH: A GAME-CHANGER

Fintech platforms can help create a more resilient ecosystem for exporters.

1 Enhanced Access to Working Capital: