FM holds Pre-Budget consultation with MSMEs for Budget 2026-27

Union Finance Minister Nirmala Sitharaman on Wednesday chaired the third pre-Budget consultation meeting with representatives from the micro, small and medium enterprises (MSME) sector in New Delhi. The meeting forms part of the Ministry of Finance’s ongoing exercise to gather inputs for the Union Budget 2026-27, scheduled to be presented in Parliament on February 1 next year.According to information,the session was attended by Union Minister of State for Finance Pankaj Chaudhary, the Secretary of the Department of Economic Affairs, senior officials from the Finance and MSME ministries, and leading industry associations. Participants presented key recommendations aimed at bolstering growth, competitiveness, and ease of doing business within the MSME ecosystem.

Union Minister for Finance & Corporate Affairs Smt. @nsitharaman chairs the third Pre-Budget Consultation with the stakeholders from Micro, Small and Medium Enterprises #MSMEs in connection with the forthcoming Union Budget 2026-27, in New Delhi, today.

The meeting was also… pic.twitter.com/Ex0z1YAdPh

— Ministry of Finance (@FinMinIndia) November 12, 2025

According to the Finance Ministry, the discussions focused on easing access to credit, addressing delayed payments, reducing compliance costs, and supporting technology adoption. Stakeholders also highlighted the need for fiscal incentives to promote innovation and sustainability across the MSME landscape.Officials underlined that the MSME sector—employing over 11 crore people and contributing nearly 30% to India’s GDP—remains a crucial pillar of the country’s economic growth. Strengthening access to finance through simplified lending norms, expanding digital payment systems, and enhancing support for technology upgradation were among the major themes deliberated.
Wednesday’s meeting was the third in a series of pre-Budget consultations being conducted by the Finance Ministry. Earlier this week, Sitharaman held discussions with key stakeholders from the agriculture and economic policy sectors. These interactions are designed to ensure that the upcoming Union Budget reflects the perspectives and priorities of various industries while addressing sector-specific challenges.Through such consultations, the government aims to align fiscal policies with real-world business needs and sustain India’s growth momentum amid evolving global economic conditions.
The MSME sector has been at the forefront of government policy in recent years, with successive Budgets announcing targeted support measures such as the Emergency Credit Line Guarantee Scheme (ECLGS), Production Linked Incentive (PLI) schemes, and the ‘Raising and Accelerating MSME Performance’ (RAMP) programme.Officials noted that suggestions from these ongoing consultations would help shape future policy decisions, particularly those focused on credit flow, job creation, and digital transformation. As India advances toward its $5 trillion economic goal, the MSME sector is expected to play a defining role in driving innovation, exports, and employment.The Union Budget 2026-27 will be presented by Finance Minister Nirmala Sitharaman in Parliament on February 1, continuing the government’s tradition of unveiling the Budget at the beginning of the fiscal planning cycle.

(Business Correspondent)