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At the recently concluded VCCircle FinServ Summit, Hardika Shah, Founder & CEO, Kinara Capital spoke with Shalil Gupta, Chief Business Officer, Mosaic Digital on the theme ‘Economic Recovery Hinges on Bridging Bharat and India together for the MSMEs’.
 
MSMEs are the backbone of India's economy, contributing to nearly 50% of exports, 30% of the national GDP, and providing local employment to over 120 million people. There is a noticeable divide between new-age lenders and traditional lenders in how they serve the MSME entrepreneurs. Post-Covid19, economic recovery of the nation depends on easing credit flow to the MSMEs for this diverse segment who are at different levels of adaptability. The way forward can only be achieved successfully by blending digital with a high-touch model, thus bridging Bharat and India.
 
Kinara Capital is a Bangalore based enterprise that provides business loans in the range of Rs. 2-25 lakhs, without property collateral, to micro and small enterprises in India. Representing her organisation, Shah provides enriching insights on the needs and issues concerning this sector particularly in the aftermath of the global pandemic.
 
She remarks how India has over 60 million small businesses in India, yet more than 90% of them are less than 5 crores in annual turnover; which means by definition they are less formal and structured. Access to capital for this segment therefore gets diminished. The pandemic and the subsequent lockdown has accelerated and magnified already existing challenges.
Watch the episode to know more from Hardika Shah on how this gap can be bridged and moreover how the economic recovery of the nation depends upon it.

Brand Solutions is a marketing initiative for sponsored posts. No VCCircle journalist was involved in the creation of this content.

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