New Delhi, Sept 28 (KNN) It is estimated that presently the business spends market in India for MSMEs is between USD 1 to USD 1.5 trillion, said a report by spends management firm EnKash and management consulting firm Kearney.

Titled as ‘Rising Digital Business Spends: Managing a USD 15 Trillion India Opportunity’, the report reveals that the overall business spends market in India is pegged at USD 7 trillion with the potential to reach USD 15 trillion by 2030, reported Financial Express.

It is found that the window of opportunity for growth lies in the small to medium-sized businesses given their large volume in the country.

Only 3-4 million businesses have shown rapid progress in digitising their business spends out of the overall 64 million businesses in India.

These include large corporates, mid-market enterprises (Rs 5-250 crore turnover) and a rapidly growing ecosystem of startups.

According to Nidhi Tiwari, Partner, Kearney, “MSMEs prefer to make their B2B payments by online bank transfer through NEFT and RTGS and UPI is used for small payments. A new trend that has picked up in the last 2-3 years is the use of commercial cards. Cheques and Demand Draft are used scarcely, mostly for larger sums.”

The report suggests that easy-to-use and interactive solutions that smaller businesses can adopt and integrate with their existing systems and drive efficiency are required.  (KNN Bureau)