Access to affordable working capital has long been one of the biggest bottlenecks holding back India’s MSME exporters. A new partnership between Drip Capital and the Government of Maharashtra aims to directly address that gap.
Drip Capital has signed a Memorandum of Understanding (MoU) with the Maharashtra government to facilitate ₹10,000 crore in collateral-free trade finance for MSMEs engaged in exports over the next five years, from 2026 to 2031. The agreement was formalised on the sidelines of the World Economic Forum Annual Meeting in Davos, signalling the state’s intent to position itself as a stronger hub for export-led MSME growth.
Tackling the MSME credit gap
The partnership comes against the backdrop of a persistent and well-documented financing challenge. According to estimates by SIDBI, India’s MSME sector faces a credit gap of nearly ₹30 lakh crore. For exporters, the problem is even more acute, as delays in working capital can directly impact order fulfilment, buyer confidence, and participation in global supply chains.
By committing to disburse ₹10,000 crore in trade finance, the Drip Capital–Maharashtra collaboration seeks to ease liquidity constraints for small exporters and enable them to scale international operations without relying on traditional collateral-heavy bank lending.
Focus on speed, scale, and digital underwriting
Drip Capital’s model is built around fully digital onboarding and data-driven risk assessment, allowing MSMEs to access funding in days rather than weeks or months. The platform enables exporters to secure financing without pledging personal or business assets, a key advantage for first-generation entrepreneurs and small firms with limited balance sheets.
The MoU also enables MSMEs in Maharashtra to leverage advanced digital capabilities such as automated underwriting, global buyer verification, and structured risk assessment. These tools are expected to reduce friction in cross-border trade financing while improving reliability and predictability for exporters.
Strengthening export-led growth in Maharashtra
Beyond improving access to capital, the partnership aligns with broader economic goals around export growth, employment generation, and MSME formalisation. Expanding export-oriented MSMEs has a multiplier effect across supply chains, logistics, and manufacturing, creating both direct and indirect employment.
Also read: Postal Exports Get Incentive Boost for MSMEs
Industry estimates suggest that bridging the MSME export finance gap could unlock ₹9–10 lakh crore in incremental export value annually at a national level. Maharashtra, with its strong base of manufacturing and export-driven MSMEs, is well placed to benefit from such targeted financial interventions.
Long-term commitment to MSME inclusion
Commenting on the collaboration, Pushkar Mukewar, Founder and CEO of Drip Capital, said the partnership reflects a shared vision to strengthen MSME resilience and global competitiveness by improving access to timely and inclusive finance.
To date, Drip Capital has supported over 11,000 businesses globally and facilitated more than ₹66,000 crore in trade financing. The Maharashtra MoU reinforces the company’s long-term focus on scaling MSME-led exports while supporting state-level economic development priorities.
As global trade becomes increasingly competitive, initiatives that combine policy support with fintech-led innovation could play a decisive role in helping India’s MSMEs move up the export value chain.