MSMEs' business confidence declines by 2.5%

NEW DELHI: Business confidence among Indian micro, small and medium enterprises (MSMEs) has witnessed declination by 2.5 % points to a value of 54.7 in the October-December quarter compared with the July-September quarter.

Above mentioned data was released in a recently concluded survey by the Confederation of Indian Industry (CII).

The survey is calculated on the scale of 0-100, making transitions from unfavourable to favourable situation.

“Credit, whenever available, has been too costly and has scared many SMEs away. Several bankers have also admitted that if tight policies continue, the costs would be passed on to buyers,” according to a CII release.

“The decline in confidence is a matter of concern but it does not come as a surprise as the events around the world are taking a toll on the sector and industry as a whole.”, according to Gurpal Singh, Deputy Director-General, CII