Indian MSMEs Keen to Go Green, But Struggle With Finance and Knowledge Gaps

Kinara Capital Survey Highlights MSMEs’ Green Ambitions

A major new check by Kinara Capital reveals robust intent among India’s micro, small and medium enterprises (MSMEs) to borrow sustainable practices — yet, utmost struggle with lack of finance and knowledge.

Of 3,649 MSMEs surveyed in over 100 Indian metropolises, nearly three-diggings want to go green, but utmost are ignorant of the green finance options available, and 11% cited query in getting started as their main chain.

The Financing Gap

The data spotlights a tantalising gap:

• 74% of MSMEs seeking business loans in the coming time plan to use it for sustainability upgrades.

• Yet, only half of those who apply for green loans are successful.

Regional & Sectoral Trends

• Manufacturing MSMEs in the South (especially Tamil Nadu, Puducherry, Andhra Pradesh, and Karnataka) are leaders in green intent.

• They are followed by MSMEs in trading sectors and civic B2C retail.

• Essence-related manufacturing and B2B trading of machine corridor and polymers show especially strong interest.

Global Context

Encyclopedically, MSMEs:

• Regard for 70% of jobs

• Contribute 50% of GDP

But the green transition is held back by an $8 trillion finance gap in arising requests.

The Way Forward

Supporting Indian MSMEs with:

• Premonitory services

• Affordable finance

• Streamlined loan blessings

…could unleash their eventuality as sustainability leaders — vital for India’s net-zero thing, competitiveness, and effective operations.