27th June: Micro, Small and Medium Enterprises (MSME) Day
The United Nations on 6th April 2017 has adopted a resolution as per which 27th June to be observed every year as the day of Micro, Small and Medium Enterprises (MSME). The day was first observed in 2017, this year marks the 4th MSME Day.
Importance of the Day
For achieving the Sustainable Development Goals, Governments across the globe are required to create an environment for promoting innovation and creativity. For this, the importance of Micro, Small, and Medium-sized Enterprises needs to be recognized. This will further help in encouraging the formalization and growth of the MSME sector across the domestic and international markets. Globally, the MSME sector is the largest employment provider and also the backbone of major economies.
As per the International Council for Small Business data, MSMEs on average contribute 50 percent in the GDP and generate 70 percent employment in an economy. Most of the employment generated by MSMEs is for the vulnerable sectors of our society.
MSME Day 2020
At the time of a global pandemic when millions across the world have lost their jobs, MSMEs are creating the most significant employment and income generation opportunities, especially in rural areas. But as countries across the globe have been imposing nationwide or partial lockdown, the business of the MSMEs have also affected significantly. Their primary obstacle has been lack of access to financial support.
This year’s MSME day is to raise awareness and remind the governments of the important role that MSMEs have played in their economy over the decades. Reviving the MSME sector through financial support can revive the overall economy of a country.
Month: Current Affairs - June, 2020