Bangalore, July 31 (KNN) While large number of Micro Small and Medium Enterprises (MSMEs) hailed the budget by calling it pro-MSME budget, a survey by Namaste Credit has revealed that only 53% of MSMEs believe that the Union Budget 2019 will positively impact MSMEs in the next one year and another 23% of them feel the budget may not have any impact on MSMEs.

The survey findings revealed that the government's digital initiatives are being well received by the MSMEs. Close to 70% of the respondents feel that PSB loans in 59 minutes is helpful for MSMEs owing to attributes like faster loan approval rates, easy to use interface.

The survey questionnaire was sent to over 7000 loan professionals and SME influencer community comprising of Chartered Accountants, Loan Agents, Financial Planners, across major cities in India, to gauge industry sentiments and on the ground feelers post budget. These loan professionals leverage Namaste Credit's AI-based platform to enable faster loan processing for MSMEs.

 According to the survey, only 53% of respondents say that the Union Budget 2019 will positively impact MSMEs in the next one year. Nearly 26% of them feel the budget may not have any impact on MSMEs. 54% of the respondents feel that the budget is going to impact their (the loan professionals) business in the next year positively.

Around 65% of channel partners favour paying and collecting payments through digital platforms, the survey revealed. Loan professionals are sharply divided over Union Budget 2019's MSME focused initiatives, it added.

About 44% feel that zero MDR charges for merchants on digital payments is a positive move by the government, while about 37% pessimistic about it.

"While the Union Budget 2019 is an overall pro-MSME budget, it is interesting to note that it has left the MSME wanting for more. It is noteworthy that digital initiatives to facilitate MSME lending are well received. It is also an indication that the government could put more emphasis on spreading awareness about such schemes and probably launch more such initiatives to help the MSME sector", said Gaurav Anand, Co-founder and Director of Namaste Credit.

The survey findings also reveal that only 43% of respondents find that Interchangeability of PAN and Aadhaar to file the tax return is a positive step. An almost equal number of them (40%) feel that the initiative will impact them negatively.

The sector again seems to have divided views on the Pension Benefit Scheme to about three crore retail traders and small shopkeepers, with 53% of respondents being optimistic about the initiative.

About 54% of the respondents feel negative to no impact from the currently introduced corporate tax rebate.

Published On : 31-07-2019

Source : KNN India