India to become the largest SME nation globally: Zinnov | SupportBiz

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India to become the largest SME nation globally: Zinnov

 
Tags: SME, SMB, MSME, zinnov
India, home to about 4.88 crore small and medium business (SMB) units, is all set to become the largest SME nation globally - a study carried out by market research firm Zinnov has revealed.

Praveen Bhadada, Director - Market Expansion, Zinnov stated that, the SMB sector in India has the potential to be one of the primary drivers of the country’s economy. “Today 1.5 million SMBs export their products or services outside India which is a sign of the sector's rapid evolution,” he added.

He also said that, due to its exceptional growth rate, the Indian SME sector can soon become the largest employment generator in the country.

The SME sector in India has given employment to around 8.11 crore people which has increased at a CAGR of 5.29 per cent, the report stated.

Around 95 per cent of Indian SME landscape is dominated by micro scale businesses, followed by small scale businesses contributing 4.8 per cent and the rest 0.2 per cent by medium scale businesses.

The report further noted that out of the 4.88 crore SMEs, around 55 per cent are located in urban areas while the rest 45 per cent operate from the rural regions.

 

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