27th June: Micro, Small and Medium Enterprises (MSME) Day

The United Nations on 6^th April 2017 has adopted a resolution as per which 27^th June to be observed every year as the day of Micro, Small and Medium Enterprises (MSME). The day was first observed in 2017, this year marks the 4^th MSME Day.

Importance of the Day

• For achieving the Sustainable Development Goals, Governments across the globe are required to create an environment for promoting innovation and creativity. 
• For this, the importance of Micro, Small, and Medium-sized Enterprises needs to be recognized. 
• This will further help in encouraging the formalization and growth of the MSME sector across the domestic and international markets. 
• Globally, the MSME sector is the largest employment provider and also the backbone of major economies.
• As per the International Council for Small Business data, MSMEs on average contribute 50 percent in the GDP and generate 70 percent employment in an economy. 
• Most of the employment generated by MSMEs is for the vulnerable sectors of our society.

MSME Day 2020

• At the time of a global pandemic when millions across the world have lost their jobs, MSMEs are creating the most significant employment and income generation opportunities, especially in rural areas. 
• But as countries across the globe have been imposing nationwide or partial lockdown, the business of the MSMEs have also affected significantly. 
• Their primary obstacle has been lack of access to financial support.
• This year’s MSME day is to raise awareness and remind the governments of the important role that MSMEs have played in their economy over the decades. 
• Reviving the MSME sector through financial support can revive the overall economy of a country.