“Greater Adoption of Factoring Can Strengthen MSMELiquidity,” says Ms. Harsha Bangari
by Prashant Kapadia/NHN
29th June 2026, Mumbai: “India Exim Bank remains committed to building globally competitive MSMEs through supporting exports, innovative financial solutions, market access support and capacity-building initiatives. Through the Ubharte Sitaare Programme, we identify high-potential enterprises with differentiated products, technologies or processes and support them through debt, equity and technical assistance to scale exports and emerge as future export champions,” said Ms. Harsha Bangari, Managing Director, Export-Import Bank of India, in her inaugural address at the event “Boosting Exports, Empowering MSMEs,” a joint initiative of Exim Bank and World Trade Center Mumbai in association with All India Association of Industries (AIAI).
Ms. Bangari further stated, “We have a subsidiary operating from GIFT City that undertakes factoring business to support MSMEs with timely access to working capital. Through factoring, MSMEs can unlock the value of their receivables and strengthen their ability to participate in global value chains. If the buyer’s credit profile is strong, it becomes easier for MSMEs to get their invoices factored and improve liquidity.”
The inaugural session also featured special address by Shri Rajesh Kumar Mishra, IRS, Director, Indian Institute of Packaging and Additional DGFT, who highlighted the importance of packaging, quality standards, and compliance in enhancing export readiness. He said, “Quality packaging, adherence to international standards and regulatory compliance are essential for improving India’s export competitiveness. MSMEs should leverage government initiatives such as the Export Promotion Mission, which focuses on affordable trade finance through Niryat Protsahan and export readiness, market intelligence, quality compliance and competitiveness through Niryat Disha.”
Dr. Vijay Kalantri, Chairman, MVIRDC World Trade Centre Mumbai and President, All India Association of Industries, said, “This year India has crossed USD 870 billion in exports and next year our target is to surpass USD 1000 billion. To achieve this target MSMEs must remain at the centre of India’s growth strategy. Every day is MSME Day because this sector drives entrepreneurship, innovation and employment. MSMEs manufacture more than 12,000 products and have the potential to lead Viksit Bharat through stronger support, including platforms such as GeM and schemes such as PM Vishwakarma.”
Dr. Kalantri further added, “As a member of the RBI Standing Committee, we have recommended timely and adequate credit support for MSMEs through an online, transparent system with real-time tracking of credit flows. Greater adoption of the RBIregulated Trade Receivables Discounting System (TReDS) can further improve MSMEs’ liquidity by enabling faster invoice financing and timely access to working capital.
Effective implementation of these measures can support 3% to 5% growth in MSME manufacturing, while boosting employment, exports and GDP. With SME exchanges gaining momentum, many small enterprises are also accessing capital markets through public listings.”
In line with the vision of ‘Aatmanirbhar Bharat’, Exim Bank has undertaken a focused study titled “Building Technology Capabilities in India’s Medical Devices Industry.” On the occasion of MSME Day 2026, the Study was released by Ms. Harsha Bangari, Managing Director, Exim Bank, and other dignitaries. The Study outlines a roadmap for positioning India as a technology-driven manufacturing hub for medical devices.
A session titled “Financing Solutions for MSMEs” provided insights into Exim Bank’s range of products aimed at improving credit access and export preparedness among MSMEs. The session also highlighted Exim Bank’s role as the implementing agency under the Government of India’s Export Promotion Mission for key Niryat Protsahan initiatives, including “Credit Assistance to E-Commerce Exporters” and “Support for Emerging Export Opportunities.”
The event featured a fireside chat on “The Evolving Role of Innovation in MSMEs,” with Shri Shaji Varghese, CEO, SINE, IIT Bombay, and Shri Ravindra P. Mangave, President, Maharashtra Chamber of Commerce, who underscored the importance of innovation, entrepreneurship, and institutional support in driving MSME growth and global competitiveness.
This was followed by a panel discussion on “Strengthening MSME Participation in Global Value Chains,” attended by experts like Shri Abhimanyu Raja Pillaiyar, MD, Janyu Technologies Pvt. Ltd; Shri Ravi Agarwal, MD, Samta Group and Gencrest Bio Products, and Shri Vidyut Shah, MD, VS International Pvt. Ltd., where they shared their perspectives on enhancing MSME integration into global supply chains by addressing challenges related to scale, technology, and market access, while also leveraging emerging trade opportunities.
The programme also included an interactive session led by Ms. Sushma Morthania on “Leveraging Opportunities in International Markets by MSMEs,” followed by an open house discussion that enabled exporters to engage on key challenges and opportunities in global trade.
Exim Bank reaffirmed its commitment to strengthening MSMEs and enabling their deeper integration into global markets through sustained financial, institutional, and strategic support.