Transforming Small Businesses: An AI Playbook for India’s MSMEs
Micro, small and medium enterprises (MSMEs) are critical to India’s economy, contributing nearly 30% to GDP and employing more than 230 million people. Yet they face persistent barriers to growth – from limited resources to scalability challenges. AI can be a game-changer, with the potential to unlock over $500 billion in economic value for the sector. This playbook serves as a practical guide for accelerating AI adoption across India’s MSMEs.
Micro, small and medium enterprises (MSMEs) are critical to India’s economy, contributing nearly 30% to GDP and employing more than 230 million people. Yet they face persistent barriers to growth – from limited resources to scalability challenges. AI can be a game-changer, with the potential to unlock over $500 billion in economic value for the sector. This playbook serves as a practical guide for accelerating AI adoption across India’s MSMEs.
Developed by the Centre for the Fourth Industrial Revolution India under its AI for India 2030 initiative, the playbook identifies key barriers, presents real-world use cases and introduces the IMPACT AI framework built on three pillars: awareness, action and recognition. Crucially, it also offers a clear call to action and a detailed implementation roadmap, delineating the roles of government, industry, MSME associations, academia and start-ups in ushering in a new AI era for Indian MSMEs.