Medium enterprises face severe credit scarcity: NITI Aayog

“These limitations hinder their ability to scale and innovate,” says the report.

The report says there are 18 schemes for MSMEs, out of which only 8 are for medium enterprises, which are those units that have invested between Rs 25-125 crore in plant and machinery, and have a turnover of Rs 100-500 crore.

Total fund allocated to these 18 schemes is Rs. 5,442 crores, out of which funds for Schemes available to MEs are 17.81%. This segment of the MSME also severely lacks innovation and access to skilled labour, according to the report.

The report suggests the creation of a dedicated sub-portal within the Udyam platform featuring scheme discovery tools, compliance support, and AI-based assistance to help enterprises navigate resources effectively.

The report emphasises that unlocking the potential of medium enterprises requires a shift toward inclusive policy design and collaborative governance.

With strategic support in finance, technology, infrastructure, skilling, and information access, medium enterprises can emerge as the drivers of innovation, employment, and export growth.