Investment and Turnover Limits for MSMEs Increased by 2.5 Times

The Madhya Pradesh government has raised the investment and turnover limits for micro, small, and medium enterprises (MSMEs) by 2.5 times, effective from 1st April 2025. This decision will allow MSMEs to expand, innovate, and improve financial efficiency. The revised limits will encourage industrial growth and better financial access for businesses in the state. Description: The state government of Madhya Pradesh has increased the investment and turnover limits for MSMEs by 2.5 times, with the new limits coming into effect from 1st April 2025. The move aims to enhance the efficiency, technological innovation, and financial accessibility for businesses, boosting industrial growth in the state.

Apr 1, 2025 - 16:13
Investment and Turnover Limits for MSMEs Increased by 2.5 Times

In a significant move to boost the growth of the micro, small, and medium enterprises (MSMEs) in Madhya Pradesh, the state government has raised the investment and turnover limits for these enterprises by 2.5 times. This change, effective from 1st April 2025, aims to enhance the financial reach and efficiency of MSMEs, enabling them to scale up their operations and contribute more significantly to the state's economic development.

As per the new notification issued by the Micro, Small, and Medium Enterprises (MSME) Department, the investment and turnover limits have been revised as follows:

  • Micro Enterprises: The investment limit has been increased from ₹1 crore to ₹2.5 crore, and the turnover limit has been raised from ₹5 crore to ₹10 crore.

  • Small Enterprises: The investment limit has been raised from ₹10 crore to ₹25 crore, while the turnover limit has been increased from ₹50 crore to ₹100 crore.

  • Medium Enterprises: The investment limit for medium enterprises has been set at ₹125 crore, with a turnover limit of ₹500 crore, up from ₹50 crore and ₹250 crore respectively.

This change, in line with the Central Government’s notification dated 21st March 2025, is expected to significantly enhance the scope for industrial growth in Madhya Pradesh. The revised limits will help businesses access better financing options, expand their operations, and invest in technological upgrades, thus improving their overall efficiency.

Key Highlights of the MSME Changes:

  • Micro Enterprises: Investment limit increased to ₹2.5 crore, turnover to ₹10 crore.

  • Small Enterprises: Investment limit increased to ₹25 crore, turnover to ₹100 crore.

  • Medium Enterprises: Investment limit increased to ₹125 crore, turnover to ₹500 crore.

  • Better Financial Access: The new limits will enhance financial accessibility for MSMEs, leading to better business opportunities and technological advancements.

Focus on Growth and Financial Efficiency

With these increased limits, the Madhya Pradesh government expects to see a surge in new industries, leading to improved technical innovation, better operational efficiency, and the creation of more employment opportunities. MSMEs will also be better positioned to tap into the global market, benefiting from enhanced financial support and access to modern technologies.

These changes come as part of a broader effort to improve the economic climate for businesses in Madhya Pradesh, encouraging the growth of enterprises across various sectors.