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ARTICLE · 26 MARCH 2025

MSME Update | Amendment To Micro, Small And Medium Enterprises

Mansukhlal Hiralal & Company
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The Ministry of Micro, Small and Medium Enterprises (MSME) has significantly revised the investment and turnover thresholds for MSME classification.

IndiaCorporate/Commercial Law
Bhushan Shah
Bhushan Shah
Hasti Parekh
Hasti Parekh
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Introduction

The Ministry of Micro, Small and Medium Enterprises (MSME) has significantly revised the investment and turnover thresholds for MSME classification. The changes have been notified vide Notification S.O. 1364(E) dated 21 March 2025. This amendment supersedes the earlier notification S.O. 2119(E) dated 26 June 2020, issued under the Micro, Small and Medium Enterprises Development Act, 2006.

Key Changes

The Notification increases the investment and turnover limits for MSMEs. The revised thresholds for MSME are as follows:

Enterprise Category Revised Investment Limit Revised Turnover Limit
Micro Enterprises Increased from ₹ 1 crore to ₹ 2.5 crore Increased from ₹5 crore to ₹10 crore

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