How Fintech boosts the progress of the MSME sector

Micro, small and medium sized enterprises are contributing a great deal towards the progress of the Indian economy. MSMEs provide employment opportunities to more 100 million people, and moreover contribute to 28.77% to the GDP, it has nearly 40% contribution towards the exports, and close to 45% in industrial inputs. So, there is a need to provide financial aid and motivate the MSME sector by granting them the affordable policies and regulations. This is where the role of Fintech industry comes into picture to ease up the process for the MSMEs.

There are a lot of advantages that Fintech provides to MSMEs to achieve financial parity and assistance. Artificial Intelligence or AI has been able to create virtual financial advisors that help the MSMEs on a variety of subjects. From MSME loan to MSME Registration as well as CGTMSE, these functions help the applicants. There is also technology available that is governed by the investment strategy. They offer a variety of financial services depending on the demand and the need. 

Also, a new area where Fintech has been able to successfully venture is crowdfunding. And MSMEs benefit a lot from crowdfunding.