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- India’s private capital mobilization has grown nearly fivefold in four years, rising from approximately $3 billion in FY22 to $14.5 billion in FY26 and unlocking a cumulative $36 billion for development across sectors.
- Through policy reforms, risk mitigation and investments alongside financial institutions, the World Bank Group is helping expand financing models and attract investors to markets with significant unmet funding needs. Since 2022, it has invested over $3.5 billion to support new credit structures and mobilized over $8.5 billion for MSMEs.
- Approximately $9.6 billion in private financing has been mobilized for India’s MSMEs since 2022. By widening access to capital, these efforts can help businesses invest, expand operations and create jobs—contributing to India’s broader growth ambitions.
When Balpreet Aulakh founded her clothing business in Punjab, India in 2019, her stitching and embroidery enterprise became a lifeline for local artisans and unemployed residents looking for steady income. But after the pandemic, when demand surged and operational costs climbed, she needed a loan — and found doors firmly shut. Banks were hesitant to take a risk on a small entrepreneur. The financing she needed to pay her workers and fulfil orders was out of reach. Her story is not unique.
It is, in many ways, the story of 63 million micro, small and medium enterprises (MSMEs) across India.
