Section Article

The Significance of Micro Small and Medium Enterprises (MSMEs) in India’s System of Generating Wealth
Author(s): Gagan Narang

Abstract
Micro Small and Medium Enterprises (MSMEs) play a pivotal role in India’s economic development employment generation and wealth creation. This study critically examines the contribution of MSMEs to income generation employment regional development and industrial growth between 2018 and 2020. Using secondary sources including peer-reviewed journals government reports policy briefs and institutional studies the research analyzes the structural operational and policy dimensions influencing MSMEs. Findings indicate that MSMEs significantly contribute to GDP create employment opportunities across rural and urban regions enhance export potential and promote entrepreneurship. Challenges faced by MSMEs such as financial constraints regulatory bottlenecks technological limitations and market competition are also explored. The study highlights the effectiveness of government policies including credit facilitation skill development programs and digital initiatives in strengthening the MSME sector. By synthesizing empirical evidence this research provides insights into the role of MSMEs in India’s wealth generation system and offers recommendations to optimize their contribution to sustainable economic growth.