RBI Deputy Governor Calls for Empathetic Financial Support to Boost MSMEs

Reserve Bank Deputy Governor Swaminathan J has urged financial institutions to adopt a more empathetic approach towards MSMEs. Speaking at the FEDAI Annual Day, he highlighted the challenges MSMEs face and emphasized the need for innovative financial solutions to help them thrive and compete globally.

Reserve Bank Deputy Governor Swaminathan J has called on financial institutions to adopt a more sensitive and empathetic approach towards MSMEs. He urged the deployment of supportive measures like loan restructuring to bolster the sector, which is crucial for the economy.

Addressing the Foreign Exchange Dealers Association of India (FEDAI) on their Annual Day, Swaminathan highlighted the challenges faced by MSMEs, including access to affordable finance, delayed payments, and compliance requirements. He described MSMEs as the backbone of the economy, essential for growth, innovation, and employment.

Swaminathan emphasized that financial institutions need to step up with innovative solutions and a forward-looking approach. He stressed that the financial sector should not only provide credit but also enable MSMEs to compete globally and contribute to India's goal of becoming a developed economy by 2047.

(With inputs from agencies.)