Uttar Pradesh MSME loans rise more than 20% to ₹2.48 trillion in FY25

The Yogi Adityanath government has been nudging banks to ease the flow of credit to MSMEs for catalysing the state's industrial development potential and creating local jobs.

Loans to micro, small, and medium enterprises (MSMEs) in Uttar Pradesh, which comes on top in the country in this segment, have jumped more than 20 per cent to ₹2.48 trillion. The state is home to more than nine million MSMEs.

 

According to the official data, credit given by commercial and other banks to MSMEs in FY23 stood at ₹1.68 trillion. The figure in FY24 was ₹2 trillion.

 

While commercial banks are predominant in the urban and semi-urban pockets, cooperative banks and microfinance institutions are providing 'last mile' credit access to rural micro entrepreneurs, especially women.