Bengaluru: A study on the impact of Covid-19 on microbusinesses in India has found that nearly 40 per cent of them were denied loans (both formal/informal) as they did not have sufficient collateral or lacked positive credit history.
According to non-profit organisation 'Global Alliance for Mass Entrepreneurship' (GAME), which conducted the study, 21 per cent of the microbusinesses lacked requisite documentation for the application.
The report, titled 'Road to Recovery: Examining the impact of Covid-19 on microbusinesses in India', released recently, is a nationwide study on how the Indian MSME (micro, small and medium enterprises) sector managed the pandemic period lockdowns, GAME said.
