The United Nations (UN’s) World Micro-, Small, and Medium-Sized Enterprises (MSME) Day is annually observed across the globe on 27 June to recognize MSMEs’ role in innovation and Sustainable Development Goals (SDG).
- The year 2025 marks the 9th observance of World MSME Day.
Theme:
The theme of MSME Day 2025 is “Enhancing the Role of MSMEs as Drivers of Sustainable Growth and Innovation”, which highlights their potential to foster job creation, technological advancement, and equitable development.
Significance:
i.Recognizes the importance of MSMEs in global economic growth and job creation.
ii.Highlights their contribution to achieving the UN SDGs.
iii.Supports innovation and entrepreneurship, especially in developing countries.
iv.Focuses on challenges faced by MSMEs, like access to finance and markets.
Background:
i.On 6th April 2017, the United Nations General Assembly (UNGA) adopted Resolution A/RES/71/279 to officially recognise 27th June every year as World Micro-, Small and Medium-sized Enterprises (MSME) Day.
ii.The first World MSME Day was observed on 27th June 2017.
Key Facts:
i.MSMEs represent 90% of businesses, generate 60-70% of employment, and contribute around 50% to global Gross Domestic Product (GDP).
ii.In developing countries, formal MSMEs contribute up to 40% of national income (GDP).
iii.By 2030, the global workforce will require 600 million new jobs, making the development of SMEs a top priority for governments worldwide.
iv.In emerging markets, SMEs are responsible for creating the majority of formal employment, generating 7 out of every 10 jobs.
v.Access to finance is especially challenging for smaller firms in least developed countries (LDCs), where 41% of SMEs cite it as a major barrier to growth and development.
- This contrasts with 30% in Middle-Income Countries (MICs) and just 15% in High-Income Countries (HICs).
2025 Event:
i.On 24 June 2025, a high-level panel was held at the International Labour Organization (ILO) Office in New York, United States of America (USA). The event was co-hosted by the Permanent Missions of Indonesia and Rwanda, in collaboration with
- United Nations Conference on Trade and Development (UNCTAD),
- United Nations Industrial Development Organization (UNIDO),
- United Nations Department of Economic and Social Affairs (UN DESA),
- United Nations Office for Disaster Risk Reduction (UN DRR),
- United Nations Global Compact (UNGC).
ii.On 27 June 2025, a virtual event was held from Geneva (Switzerland) with global experts celebrating the importance and resilience of MSMEs.
India’s MSME Day 2025 Celebration – ‘Udyami Bharat’:
On 27 June 2025, the Ministry of Micro, Small & Medium Enterprises (MoMSME), Government of India (GoI) commemorated MSME Day 2025 with a high-profile event, ‘Udyami Bharat – MSME Day’, held at Vigyan Bhawan, New Delhi, Delhi.
- The event was presided over by the President of India, Droupadi Murmu, in the presence of Union Minister Jitan Ram Manjhi, MoMSME; Union Minister of State (MoS) Sushri Shobha Karandlaje, MoMSME; and Manoj Kumar, Chairman, Khadi and Village Industries Commission (KVIC).
Key Highlights of the Event:
i.Launch of Special Commemorative Stamp:
- Released by President Murmu to mark 25 years of the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE).
- CGTMSE approved over 1.18 crore credit guarantees worth Rs. 9.80 lakh crore, including a record Rs. 3 lakh crore in Financial Year 2024–25 (FY25).
ii.Launch of Online Dispute Resolution (ODR) Portal:
- Developed by the MoMSME to resolve delayed payment disputes for Micro and Small Enterprises (MSEs) in a cost-effective, location-independent and time-bound manner.
iii.MSME Hackathon 5.0 Launched:
- The President Murmu launched the 5th edition of MSME Hackathon and announced results of Hackathon 4.0 under the MSME Champions Scheme.
- Innovators will be supported with up to Rs. 15 lakh per idea for incubation.
iv.Release of Publications:
- ‘MSME Patrika’, a new in-house journal for sharing sectoral insights
‘Know Your Lender’, a guidance booklet to help MSMEs understand lending and credit access
MSMEs in India – Key Contributions:
i.Economic Contribution: 30% of India’s GDP, 45% of exports (Rs. 12.39 lakh crore in FY25), and the second-largest employment sector after agriculture.
ii.Revised Classification (Effective 1 April 2025):
- Micro: Investment ≤ Rs. 2.5 crore, Turnover ≤ Rs. 10 crore
- Small: Investment ≤ Rs. 25 crore, Turnover ≤ Rs. 100 crore
- Medium: Investment ≤ Rs. 125 crore, Turnover ≤ Rs. 500 crore.
iii.Formalization: 6.3 crore MSMEs registered on Udyam Portal (as of June 2025), including 2.2 crore women-led enterprises.
Key Initiatives of GoI:
i.PM Vishwakarma Scheme: A Central Sector Scheme (CSS), launched in September 2023, has a total outlay of Rs. 13,000 crore for the period 2023–24 to 2027–28.
- As of 26th June 2025, more than 2.71 crore applications were received, and 29.94 lakh artisans have been successfully registered.
ii.Udyam Registration Portal: Launched on 1st July 2020, it provides free, online, and paperless registration for MSMEs.
iii.Prime Minister’s Employment Generation Programme (PMEGP): A credit-linked subsidy scheme, launched in FY 2008–09, that supports people in starting non-farm micro-enterprises.
iv.SFURTI(Scheme of Fund for Regeneration of Traditional Industries): Launched in 2005-06 to organize traditional artisans into clusters, enhancing their competitiveness, product development, and sustainable income opportunities.
- To date, 513 clusters have been approved, of which 376 are currently operational. In 2023-24, 18 new clusters became functional, benefiting 11,810 artisans across 11 states.
v.Public Procurement Policy for Micro and Small Enterprises: Launched in 2012, it mandates that Central Ministries, Departments, and CPSEs must buy at least 25% of their annual requirements from Micro and Small Enterprises (MSEs).
vi.Khadi and Village Industries (KVI): GoI promotes this sector through the Khadi and Gramodyog Vikas Yojana (KGVY), a 100% Central Sector Scheme(CSS) which comprises two components: Khadi Vikas Yojana (KVY) for khadi products and Gramodyog Vikas Yojana (GVY) for village industries
About Ministry of Micro, Small & Medium Enterprises (MoMSME):
Union Minister – Jitan Ram Manjhi (Lok Sabha – Gaya, Bihar)
Minister of State (MoS) – Shobha Karandlaje (Lok Sabha – Bangalore North, Karnataka)
