Introduction
The whole scenario of women-led Micro, Small, and Medium Enterprises (MSMEs) in India has changed radically in the last three years. According to fresh data, the number of women-led MSME registrations, and MSME certificates on the MSME portal (Udyam Registration Portal) has increased manifold and showcases an emerging sense of entrepreneurship among the fairer sex, coupled with the facilitating mechanism by the government.
Table of Contents
In that direction, the Department of Financial Inclusion and Development in the Reserve Bank of India reported that the share of women-owned MSMEs registration in India in outstanding MSME credit of Scheduled Commercial Banks stood at the level of 7.09% as of March 31, 2023, which is a great improvement from years before, hence showing an improvement in access to financial means for women entrepreneurs. Some initiatives have, therefore, been put up to further enhance this growth by the government. The Credit Guarantee Fund Trust for Micro and Small Enterprises provides additional benefits to women entrepreneurs, extending to an 85% cover against the general 75%, and concessions of 10% in annual guarantee fees.
The details of the guarantees sanctioned to women entrepreneurs especially under the CGTMSE during the last three years are given in the following table:
| Fiscal Year | Number of Guarantees | Amount (₹ Crore) | Percentage of Total Guarantees | Percentage of Total Amount |
| 2021-22 | 1,39,244 | 8,021 | 19% | 14% |
| 2022-23 | 3,65,582 | 16,373 | 31% | 16% |
| 2023-24 | 4,25,865 | 32,223 | 25% | 16% |
| Cumulative | 19,30,188 | 94,296 | 22% | 15% |
Besides, the Prime Minister's Employment Generation Programme has provided credit-linked subsidies for setting up new micro-enterprises in the non-farm sector. Women entrepreneurs get a margin money subsidy of 35% in rural areas and 25% in urban areas.
The Udyam Registration Portal has most recently a massive increase in the number of women-led MSMEs registration. This figure has risen to 4.9 lakh in the financial year 2020-21, jumping to 8.59 lakh in the next, thereby growing by 75%. This only kept getting better in the 2022-23 financial year, with further growth pegged in the current fiscal year.
These trends underline that women-targeted entrepreneurship policies and finance support have worked well in India. With the government working on its committed measures to facilitate easier access to financial resources, as well as promoting entrepreneurship, prospects appear encouraging for women-led MSMEs.
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