Post Budget Views on MSMEs Lending and Fintech by Ritesh Jain, Co-founder-FlexiLoans.com
Below the Post Budget Views on on MSMEs Lending and Fintech by Ritesh Jain, Co-founder-FlexiLoans.com
The Union Budget 2025-26 reaffirms the government’s commitment to strengthening MSMEs, NBFCs, and fintech lenders. With a strong focus on credit accessibility, digital transformation, and financial inclusion, it paves the way for a more robust MSME ecosystem. At FlexiLoans.com, these measures align closely with our mission of enabling fast and flexible financing for small businesses.
Key Wins for MSMEs & Digital Lending
1. Boost in Credit Accessibility
* The increase in the credit guarantee cover for Micro and Small Enterprises (MSEs) from Rs.5 crore to Rs.10 crore is expected to unlock additional credit flow, empowering businesses to scale.
* A new Rs.5 lakh credit card scheme for MSMEs on the Udyam portal will enhance short-term working capital access.
* A scheme for first-time entrepreneurs, including women, SC/ST founders, with term loans of up to Rs.2 crore, will encourage more small businesses to thrive.
2. Stronger Financial Ecosystem for Digital Lenders & NBFCs
* A new rural credit score framework for SHG members and rural borrowers will improve risk assessment and expand lending opportunities.
* A partial credit enhancement facility for infrastructure bonds will boost liquidity for NBFCs and fintech lenders, improving access to funds.
* The rollout of a revamped Central KYC Registry in 2025 will simplify onboarding and enhance fraud prevention in digital lending.
3. Fintech-Friendly Policies for Faster Growth
* The launch of BharatTradeNet, a digital platform for trade documentation and financing, will simplify processes for MSME exporters.
* The introduction of the Jan Vishwas Bill 2.0, aimed at decriminalizing 100+ provisions, will ease compliance for MSMEs, NBFCs, and fintech lenders.
What This Means for FlexiLoans.com and MSMEs
These reforms will accelerate credit flow, improve financial infrastructure, and foster deeper digital lending penetration. With a stronger credit guarantee scheme and better risk assessment tools, MSMEs will experience faster, more affordable credit access. Simplified regulations will further enable seamless loan disbursals across India, especially in Tier 2 and Tier 3 markets.
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