India’s first sentiment index for micro and small enterprises (MSEs) developed jointly by credit rating body CRISIL and Small Industries Development Bank of India (SIDBI) launches CriSidEx by finance Minister Arun Jaitley .
CriSidEx is a composite index based on a diffusion index of eight parameters , it measures MSE business sentiment on a scale of zero to 200 . It will have two indices , one for the survey quarter and another for the next quarter once a trend emerges after few rounds of the survey , providing independent time series data .
The Finance Minister says ” The health of MSME sector is extremely vital to the economy and with the number of steps taken by the government in the past two years , there is an increased integration of MSME sector into the formal economy . ”
The finance Minister added to it that MSME sector is the backbone of the economy . It is one of the largest employers in the country and with the emerging vast population where employment either in government or in the large industry itself has limited potential this is one sector where people not only exhibit their entrepreneurial skills ,but also becomes part of large value chains but also become job creators in the process. And this is the reason why a bulk of the jobs in manufacturing, trading have been created in this particular sector which in turns not only adds to the turnover of nation but also provides more employment .