The Trade Receivables Discounting System (TReDS) proposed by the RBI is expected to provide much-needed liquidity to Micro, Small and Medium Enterprises (MSMEs). Lack of adequate working capital has been a major issue for MSMEs. Institutional lenders are typically obsessed with immovable collater…
Tag: Manish Jaiswal
MSE interest subsidy can triple indirect taxes: CRISIL
New Delhi: An interest rate subsidy of Rs 1 crore to Micro and Small Enterprises (MSEs) can generate nearly thrice as much in indirect taxes, create 38 jobs, and also increase revenue and profitability of MSEs in the near-term, an analysis by CRISIL SME Ratings said here on January 24. Putting it…
MSEs with credit rating increase debt by 70%
CRISIL’s analysis of 1,600 Micro and Small Enterprises (MSEs) which sought re-rating for four consecutive years or more shows 35 per cent of them saw at least one rating upgrade. An equal number saw no change in rating, while 14 per cent were downgraded. The rest experienced multi-directional rat…
Diversification makes MSMEs more attractive for lenders: CRISIL
Diversification of business model — by geographical reach, product range, and customer base — carries a lot of weight in credit risk assessments. So a well-diversified MSME will have a credit-quality edge over peers with concentrated businesses. CRISIL’s analysis of the financials of over 1,000 M…
Currency Switch Impact | MSMEs reap benefits from investments in brand-building
The demonetisation of high-denomination currency notes has resulted in a liquidity crunch and a short-term dip in retail consumption. CRISIL believes that in times of turbulence such as this, micro, small and medium enterprises (MSMEs) that have invested in brand creation and have good recall wit…
Auto Component SMEs should diversify for speedy growth : CRISIL
Diversification in terms of customers, geography and products is a differentiator for Micro, Small and Medium Enterprises (MSMEs) in the auto component industry, an analysis of 300 such units rated by CRISIL has revealed. The industry has seen a slowdown in revenue growth over the past four finan…
New rating guidelines will enhance credibility | CRISIL
Credit rating agency CRISIL, which pioneered ratings for MSMEs too in India, feels that the revised guidelines on the Performance and Credit Rating Scheme (PCRS) by the Union Ministry of Micro, Small and Medium Enterprises, will enhance the credibility of the ratings and increase its usage across…