MSME Bill must address structural issues: The Micro, Small and Medium Enterprises Development (Amendment) Bill 2026 addresses a problem that has affected MSMEs for years. Delayed payments lock up working capital and force enterprises with weak balance sheets to finance their larger customers. Stronger Micro and Small Enterprises Facilitation Councils, faster dispute resolution and wider use of the Trade Receivables Discounting System could reduce that burden. Requiring Central Public Sector Enterprises to settle MSME invoices through TReDS should also improve payment discipline.

These provisions deserve support. However, their reach is limited by the conditions in which most small firms operate. An enterprise that struggles to obtain affordable credit, works from a poorly serviced industrial cluster or cannot afford professional help will not be transformed by a better mechanism for recovering unpaid invoices. The amendment deals with an important commercial problem. Much of the economic disadvantage facing MSMEs lies outside its scope.

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