65% of MSMEs Positive about Business Growth in 2022

On Monday, a survey conducted by Khatabook revealed that with the ease of COVID-19 restrictions and businesses and the economy making recovery, the MSME sector is estimated to register business growth in the future. The overall sentiment across industries was positive about the business growth with 68 percent of the MSMEs expecting better prospects. On the other hand, the 7 percent had expected a decline in business in the first half of this year.

According to the report, during the second half of 2021, 41 percent of the MSME owners in the country have clocked significant growth in their business, 23 percent of MSME owners have witnessed a decline in their business, and the 36 percent of businesses remained static. Khatabook analyzed 15,942 MSMEs across the nation to study the business growth in the third and fourth quarters of the year 2020 and the forecasted growth for the first and second quarters of 2022. According to the Khatabook survey, 54 percent of the business did not counter any prominent challenges during this period.  The remaining 46 percent struggled with certain issues that included weak demand, financial liquidity, and credit availability.