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In an uncertain world, India's small businesses are sure about growth

MSMEs hopeful about first quarter performance and most don't think US tariffs will affect them

The Economic Survey said MSMEs face extensive compliance requirements and significant bottlenecks with access to affordable and timely funding being  some of the core concerns
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Optimism about sales increased among MSMEs in manufacturing (62 per cent) and trading (60 per cent) in Q1 FY26

Sneha Sasikumar New Delhi
Small and medium businesses in the country are optimistic about the first quarter of FY26 (Q1 FY26) and those in the services sector do not see US tariff hikes on India affecting them, says a survey that was conducted before President Donald Trump cracked down on Indian goods.
 
A smaller share of manufacturing companies said the same about the tariffs, according to the third MSME Outlook Survey for April-June 2025 conducted by Small Industries Development Bank of India (SIDBI). The survey had 1,200 micro, small and medium enterprises (MSMEs) as respondents and is based on the MSME Business Confidence Index.