Marketmate: Systematic Literature Review on Correlation Between MSME Investment Turnover and Employment

The Micro, Small, and Medium Enterprises (MSME) sector is the second-largest employment provider in India, employing over 120 million people across 36.1 million enterprises and contributing approximately 29% to the nation's GDP. Despite various government schemes such as PMEGP, CGTMSE, and SFURTI designed to promote MSMEs, challenges such as limited access to finance and technology persist. This paper presents a systematic review aimed at analysing the correlation between MSME investment, turnover, and employment generation. The study focuses on enterprises registered under the Udyam Registration Portal and evaluates how investment impacts turnover and employment growth. Through a comprehensive analysis of existing literature and policy measures, the paper provides insights into the effectiveness of these measures and their impact on the MSME sector in India.