MSME Day: Empowering MSMEs Through Digital Transformation

Micro, Small, and Medium Enterprises (MSMEs) Day is observed throughout the world on June 27 to acknowledge the important part MSMEs contribute towards the development of economic growth, innovation, and job creation. Employing more than 60% of jobs and operating over 90% of businesses globally, MSMEs are the pillars of developing and developed economies. They play an important role in India's GDP, exports, and employment generation, acting as strong drivers of inclusive growth and industrialization. This day emphasizes policy changes, financial access, technology uptake, and capacity-building to support and empower MSMEs. It also addresses the challenges they encounter from restricted market entry to digitalization hurdles and calls for cooperation among governments, industry associations, and entrepreneurs. As we celebrate MSME Day, it is paramount to encourage sustainable approaches, innovation, and resilience for small enterprises so they can continue to compete and grow in a progressively global and digital economy.

Here is what the global industry leaders and Industry Experts had to say about Micro, Small, and Medium Enterprises (MSMEs) Day and its importance.

Manas Mehra, Chief Information Officer, Dabur

As CIO, I’ve seen how Micro, Small, and Medium Enterprises (MSMEs) are powerful drivers of innovation and economic growth. Their agility enables them to respond swiftly to market needs, experiment with bold ideas, and deliver impactful solutions. MSMEs not only create jobs but also foster inclusive development by empowering local talent and communities.

To aspiring entrepreneurs: your journey begins with a single idea and the courage to pursue it. Don’t underestimate the value of starting small some of the most disruptive innovations come from lean, passionate teams. Stay curious, embrace challenges, and build with purpose. The future of innovation lies in your hands.

Let’s continue to support MSMEs and nurture a culture where creativity, resilience, and entrepreneurship thrive. Your vision can shape industries and inspire change. Keep pushing boundaries—the world needs your ideas.

Satjeet Singh, Director-IT, Pfizer

Micro, Small, and Medium Enterprises (MSMEs) are the backbone of many economies, including India's. They play a crucial role by contributing to employment to millions of people. In fact, they are second largest employment provider after agriculture. They create jobs at much lower capital cost. This helps in reducing poverty and improving living standards. They contribute substantially to the GDP, fostering economic stability and promote grassroots entrepreneurships. MSMEs promote balanced regional development by setting up industries in rural and semi-urban areas, reducing regional disparities. MSMEs are often more agile and can quickly adapt to market changes, fostering innovation. They cater to niche markets with specialized products and services, driving innovation through customization and unique offerings.

My message to Aspiring Entrepreneurs is to Believe in Your Vision, Stay committed to your ideas, Embrace Challenges and keep pushing forward, Keep learning and adapting to stay ahead of the curve, Build a strong network , Don't hesitate to reach out and connect with others in your industry, Stay Resilient and focused on your goals will help you succeed. MSMEs are vital for a thriving economy, and aspiring entrepreneurs have the potential to drive significant change and innovation. Keep pushing forward and remember that every small step counts towards achieving your larger goals.”

Yogendra Singh, CIO/CTO/Head-IT/SAP, Barista Coffee

Micro, Small, and Medium Enterprises (MSMEs) are the backbone of any economy. They generate millions of jobs, drive nearly 30% of India’s GDP, and fuel balanced regional development—reaching where big industries don’t.

What makes them stand out? Agility and innovation. MSMEs quickly adapt to market changes, create tailored solutions, and often pioneer frugal innovations that serve real local needs.

They also power global supply chains, boost exports, and promote inclusive growth by empowering women, youth, and underserved communities.

However, many face challenges—limited access to credit, tech, and global markets. With the right support, MSMEs can unlock limitless potential and shape a resilient, future-ready economy.

Let’s not call them “small”—they’re small in size, but mighty in impact.

Rajesh Kulkarni, Head  of  Information Technology, Piaggio Vehicles

Micro, Small, and Medium Enterprises (MSMEs) form the backbone of manufacturing OEM's, especially in developing countries like India. They play a pivotal role in contribution for innovation, generating employment, and driving inclusive economic growth and contribute significantly to national GDP.

• MSMEs are more agile and can quickly adopt new technologies or pivot their business models.
• Many MSMEs develop localized, cost-effective innovations that address specific community or regional needs.
• Many startups in tech, services, and manufacturing start as MSMEs.
• MSMEs act as crucial suppliers and service providers to large industries, maintaining supply chain efficiency

MSMEs are essential for a dynamic and robust economy. Their ability to innovate, generate employment, and drive inclusive and sustainable growth makes them key drivers of national development. To fully unlock their potential, there is a need for policy support, easier access to credit, technology adoption, and capacity building.

Dr. Parul Naib, Head - Data Science and AI, Reserve Bank Innovation Hub

MSMEs are not just economic engines—they are innovation and creativity epicentres that drive inclusive growth across every corner of India. By creating jobs, fostering grassroots entrepreneurship, and enabling local supply chains, they uplift communities and bring economic opportunities to all sections of society. Today, with the transformative power of Artificial Intelligence—especially agentic AI that can think, plan, and act—MSMEs are reimagining their potential. From intelligent automation and predictive analytics to AI-powered access to credit and market intelligence, technology is helping MSMEs punch far above their weight. At the Reserve Bank Innovation Hub, we are committed to building AI-led platforms that enable small businesses to thrive, scale, and compete globally.

To every entrepreneur dreaming big: the future belongs to the agile—and AI is your most powerful ally. Let’s embrace this momentum and build resilient, tech-enabled MSMEs that drive India’s next wave of innovation."

Subrata Roy, IT Head, Lux Industries

"Digitize to Flourish — or Else Perish. Embrace innovation, empower your team, and future-proof your business. Start your digital journey today and lead the change before it's too late."