More Means Less In MSME Mess

Four major crises in less than four years! From demonetisation, Goods and Services Tax (GST), economic slowdown, to COVID-19 catastrophe! The first killed many MSMEs. The second forced some to shut shop. The third led to fear and loathing. And the fourth, well, it decimated the sector. The future of more than 60 million Micro, Small, and Medium Enterprises (MSMEs) hangs by a thin thread. If the government-induced stimulus doesn’t work – the initial signs indicate that it is unlikely – the India economy is likely to go into a tailspin. The policy makers assure us that we need to wait, as it takes a lot of effort to re-start a large economy like India after a nationwide lockdown for two months. They repeat that things have begun to move, and the positive impact will be visible in the coming months. “It’s too early to comment because many sectors resumed work...