India, US ink 'landmark' agreement on cooperation in MSMEs sector

India and the US on Tuesday signed a "landmark" agreement that provides a framework for both sides to explore cooperation in the micro, small and medium enterprises (MSME) sector.

External Affairs Ministry Spokesperson Randhir Jaiswal said the Memorandum of Understanding (MoU) would enable MSMEs of the two countries to foster trade.

"Today, India-US signed a landmark MoU that enables MSMEs of the two countries to participate in global markets, drive innovation, foster trade, and support women entrepreneurs," he said on X.

The MoU was signed in line with a decision taken during Prime Minister Narendra Modi's visit to the US in June last year.

The pact was inked by the two sides in New Delhi.

The MoU provides a framework for both sides to discuss issues concerning the MSME sector and explore possibilities of cooperation.

It envisages the exchange of expertise between the two sides on issues related to improving MSME participation in the global marketplace; cooperation in areas of technology and digital trade, green economy; and trade facilitation, people familiar with the matter said.

It also provides for the joint conduct of programmes for women entrepreneurs to empower them and facilitate trade partnership between women-owned small businesses of the two countries, they said.

Recognising the crucial role that MSMEs play in advancing inclusive growth, expanding exports and boosting employment, the two sides also agreed to explore the development of a "Business Matching Digital Platform" to boost business opportunities, the people cited above said.