Empower MSMEs and promote financial inclusion by providing targeted incentives and loan guarantees
By ROHIT MAHAJAN
Co-Founder plutosONE
India has more than 600 million smartphone users, so there is a lot of opportunity to unleash the next growth wave. Encouraging fintech-bank partnerships can help close the gap between the creative solutions of fintechs and the wide-ranging reach of banks, guaranteeing that digital payment solutions are delivered to the final mile.
MSMEs, which employ more than 120 million people and account for over 30% of India’s GDP, frequently struggle to obtain reasonably priced finance.
After the launch of Bharat Connect B2B, invoicing and financing will become easier. Trade Receivables Discounting Systems (TREDS) and similar platforms have been crucial in enhancing working capital finance.
The government may empower MSMEs and promote financial inclusion by providing targeted incentives and loan guarantees for their use of TREDS.
Furthermore, growing digital infrastructure and resolving cybersecurity issues are crucial, as India’s digital economy is expected to exceed $1 trillion by 2030.
Inclusive growth will be ensured by tax breaks for digital transactions, streamlined compliance for MSMEs, and funding for digital literacy programs.
NPCI & Banks in partnership with Fitnech like plutos ONE are creating Banking Solutions for customers and business. At plutosONE, we think that Budget 2025 might set the stage for a robust, inclusive, and sustainable digital economy.
