ET: SMEs drive India’s growth to prosperity
Now that SMEs can raise funds through NSE/BSE, what more can be done to empower SMEs to drive India’s growth to prosperity?
According to ET Bureau, SEBI’s latest move “can be but one step
towards removing the panoply of constraints that they face on a daily basis.”
Some suggestions by ET Bureau:
- Remove routine informational rigidities between SMEs and lenders and potential investors.
- A more responsive policy mechanism to finance SMEs: what is necessary is an array of advisory and business development services focused on SMEs: the idea is to improve credit and business-performance information.
- Innovative financial products to reduce credit risks for SMEs and boost investor comfort.
- Address the problem of delayed payments and rationalise the tax regime for SMEs.
Finally we enthusiastically agree with the assertion:
We need a thriving SME sector to boost entrepreneurship and risk-taking pan-India, and spur innovation and growth.
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