Govt Likely to Table MSME Amendment Bill in Upcoming Monsoon Session

New Delhi: The government plans to introduce a bill to enhance the ease of doing business for micro, small and medium enterprises and strengthen the mechanism for addressing delayed payments in the upcoming Monsoon Session of Parliament.

The Micro, Small and Medium Enterprises Development (Amendment) Bill, 2026, is expected to be taken up for consideration and passage in the session beginning next week.

The bill seeks to align the Micro, Small and Medium Enterprises Development Act, 2006, with the changing MSME (micro, small and medium enterprise) landscape, to enhance the ease of doing business and bring trust-based regulations in the ecosystem.

It also seeks to strengthen the mechanism for addressing delayed payments, provide for the enforcement of arbitral awards for micro and small units, and introduce flexibility and create enabling provisions for states to decide the composition of the Micro and Small Enterprises Facilitation Council (MSEFC), thereby forming more MSEFCs.