U.S. Small Business Administration (SBA) Administrator Isabel Casillas Guzman announced an agreement with India’s Ministry of Micro, Small and Medium Enterprises (MSMEs) aimed at strengthening collaboration between the two nations to promote small business participation in the global marketplace.
This memorandum of understanding (MOU) is the SBA’s first formal partnership with India and underscores the shared commitment of both nations to empowering entrepreneurs and fostering inclusive economic growth.
The MOU was signed on August 13 by Guzman and representatives from India’s Ministry for MSMEs in New Delhi.
It builds on discussions held during Indian Prime Minister Narendra Modi’s state visit to the United States in 2023, where he and President Biden highlighted the crucial role of MSMEs in driving economic development and innovation.
“The United States-India partnership is grounded in shared values of democracy, freedom, and opportunity,” Guzman says. “Through our new MOU with the Indian Ministry of MSMEs, the SBA is delivering on President Biden and Prime Minister Modi’s outlined commitment to expanding our collaboration on empowering more small businesses and innovative startups in the global marketplace. From advancing technology to supporting inclusive growth for women and other underserved entrepreneurs, we look forward to working alongside our counterparts to ensure entrepreneurial ecosystems are at the center of both countries’ efforts to strengthen investment, commercialization, supply chains, and trade in industries of the future.”
Key Aspects of the Agreement:
- Empowering Small Businesses: The agreement focuses on integrating small businesses into the global economy, particularly in emerging sectors such as green energy and digital services. The MOU will facilitate joint programming to share expertise on entrepreneurial training, access to capital, trade and export financing, and the use of technology to enhance global competitiveness.
- Focus on Women Entrepreneurs: A significant component of the agreement is promoting women’s entrepreneurship, reflecting both nations’ commitment to fostering inclusive growth and ensuring that underserved entrepreneurs have opportunities to thrive in the global marketplace.
- Business Matching Digital Platform: The United States and India also agreed to explore the development of a “Business Matching Digital Platform” to create strategic partnerships and business opportunities between U.S. and Indian firms, further boosting small business engagement in international trade.
The MOU will initially cover a five-year term, during which both countries will work together to implement programs and initiatives that will support small businesses in navigating the complexities of the global economy, ultimately leading to stronger and more inclusive economic growth for both nations.
