The Micro, Small and Medium Enterprises Development (Amendment) Bill, 2026
The Micro, Small, and Medium Enterprises Development (Amendment) Bill, 2026 was introduced in Rajya Sabha on July 28, 2026. It seeks to amend the Micro, Small and Medium Enterprises Development Act, 2006. The Act aims to facilitate the promotion and development of Micro, Small, and Medium Enterprises (MSMEs). Classification of MSMEs: The Act classifies enterprises as MSMEs based on investment in: (i) plant and machinery in case of manufacturing, and (ii) equipment in case of services. It also specifies thresholds of investment for classification between micro, small, and medium enterprises. The Bill removes the thresholds and modifies the criteria. It empowers the central government to classify enterprises as MSMEs based on: (i) investment in plant and machinery or equipment and (ii) turnover. The thresholds will be specified by notification. Registration: Under the Act, a person intending to establish a medium enterprise en...