Raising and Accelerating MSME Performance
Also called: RAMP · Topic: Industrial Policy, Public Sector, MSMEs and Disinvestment · NCERT: Beyond NCERT
Meaning
Raising and Accelerating MSME Performance (RAMP) is a central government programme for micro, small and medium enterprises (MSMEs), with support from the World Bank. MSMEs are firms that are put into groups by how much they invest and how much they sell. RAMP does not give loans to individual firms. Instead, it makes the support system around MSMEs work better, so that more firms can get to markets, credit and technology. It also helps the Centre and the states work together and makes MSME schemes easier to deliver. This matters because MSMEs create a large share of India's jobs and exports, but many stay small and informal.
Example
Take a micro unit in a cluster such as Moradabad brass. From 1 April 2025, a micro unit is one with investment up to Rs 2.5 crore and turnover up to Rs 10 crore. RAMP does not hand this unit money directly. It funds state-level work that helps the unit, such as better market links, easier access to credit and quicker settling of delayed payments.
Don't confuse with
- MUDRA (2015): gives Shishu, Kishore and Tarun loans directly to micro units. RAMP strengthens the system that supports MSMEs and does not lend to firms.
- CGTMSE (2000): guarantees loans that MSMEs take without collateral (security). RAMP is a wider programme to improve performance, not a credit guarantee.