Tata Motors and Welspun Renewable Energy Private Limited Partner to Develop 86 MW Wind-Solar Hybrid Project

• The project is estimated to generate 200 million units of clean energy annually and offset over 1.4 lakh tons of CO₂ emissions
• The project will provide renewable energy to four Tata Motors manufacturing plants across Jharkhand, Uttar Pradesh, Uttarakhand, and Karnataka, contributing to the company’s RE100 target and advancing its net-zero emissions ambition.

Tata Motors Ltd., India’s largest commercial vehicle manufacturer, has joined hands with Welspun Renewable Energy Private Limited (WREPL), a frontrunner in India’s clean energy transition, for a landmark Power Purchase Agreement (PPA) to co-develop an 86 MW wind-solar hybrid renewable energy project supplying power to Tata Motors’ manufacturing plants in Jharkhand, Uttar Pradesh, Uttarakhand and Karnataka.

Estimated to generate 200 million units of clean electricity annually, the project is expected to offset over 1.4 lakh tons of CO₂ emissions each year. Enabled through co-investment and a long-term Power Purchase Agreement (PPA), this integrated wind-solar hybrid solution will provide a reliable supply of green energy exclusively to Tata Motors’ four manufacturing facilities in the covered states, supporting the production of commercial vehicles.

This initiative will significantly catalyse Tata Motors’ clean energy transition and support its RE100 target by 2030, accelerating meaningful progress toward climate-resilient operations. It also marks a major milestone in Tata Motors’ sustainability roadmap, aligning with the company’s broader ambition to achieve net-zero emissions through responsible manufacturing.

Signing the PPA, Mr. Vishal Badshah, Vice President – Operations, Tata Motors Ltd, said, "This project reflects Tata Motors’ continued focus on building greener and more energy-efficient manufacturing operations. The scale and integrated nature of this wind-solar hybrid solution will help us secure a reliable supply of renewable energy for key commercial vehicle manufacturing facilities, while meaningfully reducing carbon emissions across operations on a sustained basis. Collaborations like these are critical as we progress to fulfil our RE-100 commitment and net-zero aspirations."

Speaking on the occasion, Mr. Kapil Maheshwari, MD & CEO, Welspun Renewable Energy Private Limited, said, “This partnership with Tata Motors represents a defining milestone in Welspun New Energy's journey. We are not merely signing a PPA, we are co-creating a model for how India's largest manufacturers can decarbonize and achieve net zero and sustainability goals. We thank Tata Motors for their trust and look forward to making this one of many long and successful partnerships. At Welspun New Energy, we remain committed to building resilient, future-ready renewable energy infrastructure for both Utilities and C&I consumers”. 

About Tata Motors Ltd (Formerly TML Commercial Vehicles Ltd):

Part of the USD 180 billion Tata Group, Tata Motors Ltd., (BSE: Scrip code 544569; NSE: Scrip code TMCV) is India’s largest and a globally renowned manufacturer of utility vehicles, pick-ups, trucks, and buses. With over eight decades of leadership in commercial mobility, the company is known for its innovation, reliability, and performance. Its advanced powertrains, connected technologies, and intelligent fleet solutions support a wide range of applications—from last-mile delivery to public transport while seamlessly driving the wheels of the nation’s economy. Guided by its brand promise Better Always, Tata Motors delivers future-ready solutions that enhance customer experience and drive sustainable growth. The company operates in India and South Korea, with a global presence across Africa, the Middle East, Latin America, Southeast Asia, and SAARC countries.

As per the Composite Scheme of Arrangement sanctioned by the Hon’ble National Company Law Tribunal, Mumbai Bench—amongst Tata Motors Limited, TML Commercial Vehicles Limited (the Company) and Tata Motors Passenger Vehicles Limited—the Company’s name was changed to Tata Motors Limited from TML Commercial Vehicles Limited (effective 29 October 2025), and its equity shares are listed on the BSE Ltd and the National Stock Exchange of India Limited.

India’s MeitY Summons Meta Over Instagram Ads Promoting Child Exploitation

India’s IT Ministry (MeitY) has reportedly summoned Meta after a BBC investigation revealed that Instagram carried paid ads in India promoting child sexual abuse material (CSAM), linking users to Telegram channels selling such content. IT Minister Ashwini Vaishnaw has directed officials to demand a formal explanation from Meta.

The BBC World Service investigation, published on July 3, alleged that Instagram’s recommendation systems began surfacing sexually explicit content before serving paid advertisements containing terms such as “rape video” and “child video.”

MeitY will seek an explanation from Meta on the issue and the steps the company has taken to address it, said reports by several media outlets.

MeitY Summons Meta Over Instagram Ads Promoting CSAM

What Happened

• BBC Investigation – Found ~30 paid ads on Instagram using explicit terms like “rape video” and “child video”, redirecting users to Telegram channels selling CSAM for as little as ₹99.
• Ads Passed Review – Despite Meta’s ad moderation systems, these ads were approved and shown to Indian users.
• Government Action – MeitY will ask Meta how such ads cleared review, what safeguards exist, and what corrective steps were taken.

Government Response

• Summons Issued – Meta executives will be required to explain their ad‑screening mechanisms.
• Legal Framework – Under India’s IT rules, intermediaries must act against harmful content, especially child exploitation.
• Policy Push – The Centre is tightening accountability for platforms on issues like CSAM, deepfakes, obscene material, and cyber‑enabled abuse.

Meta’s Position

• Zero Tolerance Policy – Meta claims it does not allow CSAM in ads or posts.
• AI Detection – Uses advanced AI to proactively detect violating content, but admits criminals hide among its 3.5 billion users.
• Actions Taken – Disabled multiple ads and accounts, blocked violating URLs, and pledged to strengthen defenses.

Risks & Challenges

• Systemic Gaps – Ads are expected to undergo stricter pre‑publication review than posts, raising questions about Meta’s safeguards.
• Criminal Exploitation – Organized groups exploit loopholes in moderation systems to spread CSAM.
• Global Concern – Highlights the difficulty of policing harmful content at scale across billions of users.

Why It Matters for India

• Child Safety – Reinforces India’s stance on protecting children from online exploitation.
• Platform Accountability – Signals stronger enforcement of IT rules against global tech firms.
• Policy Direction – May accelerate India’s push for an independent AI regulation law to address online harms.

Connected Services That Actually Pay Off: Why Recurring Revenue Depends on Service Workflows, Not Dashboards

Many connected equipment projects start with a sensible promise: once machines or field assets are online, the business will stop guessing. For teams that have relied on manual inspections, technician notes, customer complaints, or delayed reports, even basic telemetry can feel like a breakthrough.

Still, it helps to separate two things early: seeing equipment and running a service are not the same job.

A dashboard can show temperature, vibration, usage, location, error codes, operating hours, and other useful signals. It can make hidden problems visible. It can also give product and service teams a shared view of what is happening in the field. That is valuable, but it is not yet recurring revenue.

Customers do not keep paying because a supplier has a better monitoring screen. They pay when visibility turns into fewer failures, faster response, lower effort, clearer accountability, or a service package they can trust. Connected equipment starts to generate commercial value when device data becomes part of a repeatable service workflow: alerts, tickets, maintenance decisions, customer updates, partner tasks, reports, and eventually billing or entitlement logic.

That distinction matters for OEMs, rental businesses, system integrators, and other companies building services around physical assets. The business case is not “having IoT” in the abstract. It is turning connected equipment into an operating model that can be delivered again and again.

Dashboards do not create recurring revenue by themselves

Dashboards are often treated as the natural endpoint of an IoT project. Once equipment is connected and data is visualized, the initiative looks complete. The team can see active devices, warning states, performance metrics, and historical trends. For early validation, this proves that devices communicate and the data pipeline works.

The weak spot appears when the dashboard is treated as if it already contains the business model. A dashboard answers one question well: what is happening? The harder questions sit outside the screen. Who reacts when an alert appears? Which alerts deserve action, and which are just background noise? What response time has actually been promised? Does the event create a ticket, notify a partner, schedule a technician, or only appear in a monthly report? Where does the basic plan end and the premium tier begin?

A product team may be tempted to treat this as a UI problem. It is not. These decisions define how the service is delivered and how it is sold. Without them, the dashboard remains passive: useful to look at, but weak as a source of recurring value.

This is why some connected equipment initiatives produce plenty of visibility but little monetization. The company may know more about its installed base than before, but the response still happens manually: someone checks the screen, interprets the alert, contacts the customer, creates a task elsewhere, and later tries to reconstruct what happened. That can work for a pilot. It does not scale across hundreds or thousands of devices.

Recurring revenue depends on repeatability. A customer subscribing to a connected service expects faster maintenance, fewer interruptions, better usage transparency, or a clearer support process. For the provider, delivering that outcome repeatedly requires workflows, ownership, automation, customer communication, and a way to connect service actions with commercial rules. The dashboard still matters, but it should be treated as one part of the service system, not as the final product.
Connected services need repeatable workflows

A connected service is more than a connected product with a login screen. It starts to look like a real service when the company can say, with some confidence, what will happen after an equipment event appears.

That consistency is what turns monitoring into a business model. A temperature spike, pressure drop, error code, or unusual usage pattern should not simply appear in a dashboard and wait for someone to notice it. In a mature service model, that event enters a workflow. It may trigger an alert, create a task, assign responsibility, notify a customer, update a maintenance plan, or feed into a monthly service report.

The workflow will not look identical everywhere. An OEM may connect it to warranty support or premium maintenance. A rental company may care more about usage limits, location, condition, and contract compliance. A system integrator may want alerts to become service-desk tasks across many client sites. But if every event still needs manual interpretation and ad hoc coordination, the business has not really built a scalable service.

Many IoT projects reach an awkward middle stage: devices are connected, a dashboard exists, and someone has already put subscription revenue into the business case. Meanwhile, service exceptions are still handled through email threads, phone calls, spreadsheets, or disconnected ticketing tools. Customers may not see what happened, and partners may not know what they are responsible for.

For a paid connected service, that is a risky foundation. Customers do not judge the service by how much telemetry the provider collects. They judge whether someone caught the issue early, whether the response was faster than before, and whether they received a clear update. A repeatable workflow gives those questions a stable answer and something that can be packaged, priced, and improved over time.

Remote monitoring becomes valuable when it changes operations

Remote monitoring is often the first visible benefit of connected equipment. It gives teams a live view into assets that used to be opaque once they left the factory, warehouse, rental yard, or installation site. But it becomes valuable in a commercial sense only when it changes how people work.

If a service team can see that a machine is approaching a failure condition, it can prioritize maintenance before downtime. If usage data shows that one asset is overworked while another is underused, the company can advise the customer or adjust the plan. If recurring faults appear across a model or site, the product team can improve equipment or update support guidance.

None of this is really about the beauty of the dashboard. The value shows up in routing, scheduling, warranty handling, spare-parts planning, technician workload, customer communication, and product feedback loops. The same data can also reduce routine site visits.

That operational change is also what makes the commercial argument stronger. A customer is more likely to pay for remote monitoring when it is connected to a clear outcome: earlier issue detection, fewer interruptions, usage transparency, performance reporting, or faster support. Raw visibility is interesting; operational value makes the subscription defensible.

IoT value is also easier to judge at scale than at pilot level. McKinsey’s research on IoT value at scale points to a large economic potential for IoT, while also noting that many enterprises struggle to move from pilots to scaled value capture. A pilot can prove that devices talk to the cloud. That is useful, but it is the easier half of the story. A scalable service has to prove that the company can respond in a repeatable way.

For connected equipment businesses, repeatability means turning remote monitoring into action. An alert should have a priority. A fault should have an owner. A maintenance recommendation should connect to a service process. A customer-facing report should reflect what the provider actually did, not just what the device recorded. Without that operational link, remote monitoring can quietly become another source of noise.
The platform layer: from telemetry to service execution

Once remote monitoring becomes part of the service promise, “collect and display” is no longer enough. The platform has to connect equipment data with the operational logic of the business: which events matter, who should respond, what can be automated, what the customer should see, and how actions fit into the service model.

This is the difference between a monitoring tool and a service execution layer. A monitoring tool can show that a device is offline, a filter is close to replacement, a rental asset is being used outside agreed limits, or a machine has crossed a safety threshold. A service execution layer helps the business decide what happens next: whether to route the issue, notify a partner, create a task, update the customer, or apply rules based on the customer’s plan.

Once equipment data starts feeding service workflows, the platform has to support remote monitoring, maintenance automation, customer or partner visibility, and the operational logic that turns device events into recurring revenue. That is where a connected equipment platform becomes useful: not as a dashboard layer, but as a reusable foundation for service workflows, device lifecycle management, and business-specific automation.

Reuse matters here for a very practical reason. Many connected service ideas fail to scale because every customer, equipment type, or partner process becomes a separate implementation. The first version may work, but every new deployment adds more exceptions: access rules, reports, maintenance thresholds, service tiers, integrations. Soon the team is maintaining custom logic instead of improving the service model.

I would draw the line differently: standardize the mechanics, customize the service logic. Device onboarding, user roles, alerts, fleet visibility, automation, reporting, and lifecycle management should be part of the foundation. Customization should sit where the business actually differs: maintenance policies, customer-facing workflows, partner responsibilities, billing rules, escalation logic, and integrations.

For companies trying to monetize connected equipment, that balance is important. Too much generic tooling leaves teams with dashboards but no operating model. Too much bespoke development slows every new offer or customer segment. The platform layer should be stable enough to repeat and flexible enough to reflect how the business actually delivers service.

Partner and customer portals turn IoT into a scalable service model

A connected service becomes harder to manage as soon as partners, contractors, distributors, enterprise customers, site managers, or end users need access to the same operational picture. At that point, an internal dashboard is no longer enough.

Partner and customer portals are part of the service model, not just a user interface add-on. A partner portal can give installers, resellers, or service contractors access to their deployments, devices, tasks, and customers. A customer portal can show status, service history, reports, open issues, usage data, and plan-specific features without exposing internal tools.

The point is not to give everyone another login. The point is to give each participant the right level of visibility and responsibility. A contractor may need maintenance tasks and diagnostics. A distributor may need deployment status and customer-level reporting. A business customer may only need uptime history, alerts, and proof that the provider is meeting its commitments.

Without portals, the provider becomes the manual coordination layer: status updates, device access, screenshots, reports, forwarded alerts. This can work in the beginning, but it becomes expensive and error-prone as the installed base grows.

Portals also make recurring revenue easier to justify. Customers can see what happened, when someone responded, which actions were taken, and what value the service creates over time. For providers, the same structure creates accountability across internal teams and external partners.

What a workflow-ready connected service platform needs

A workflow-ready platform starts from a fairly practical assumption: do not rebuild the same IoT mechanics for every new service idea. Device onboarding, status monitoring, user roles, alerts, automation, reporting, and lifecycle management are common requirements. They should be reusable foundations, not custom projects repeated from scratch.

The custom work should move closer to the business model. Which alerts trigger action? Which events belong to a paid tier? What should a customer see? When should a partner be notified? These are the areas where the platform has to reflect the company’s actual operating logic.

A practical platform layer should cover several things at once: secure provisioning, device lifecycle management, remote monitoring, alerting, role-based access, automation, reporting, and integrations with CRM, ERP, billing, service desk, inventory, analytics, or customer support systems where needed. If those integrations are treated as afterthoughts, the workflow breaks where the business needs continuity.

It should also preserve a useful record of what happened: device events, alerts, maintenance actions, customer notifications, partner tasks, and reports. That history supports internal improvement, customer trust, warranty decisions, and future monetization.

A workflow-ready platform does not have to be the most complex system possible. Its job is to separate reusable service infrastructure from business-specific logic. When common capabilities are stable and modular, teams can adjust maintenance rules, partner access, service tiers, or customer reporting without starting again from the foundation.
Practical checklist before launching a connected service

Before launching a connected service, it is worth doing a quick sanity check. The goal is not to slow the project down. It is to avoid building a monitoring layer first and only later discovering that the service model around it is unclear.

What is the customer actually paying for: higher uptime, fewer inspections, better usage transparency, faster response, compliance support, predictable maintenance costs, or something else? If the outcome is vague, the platform will probably drift toward generic dashboards.

Which device events should trigger action, and which should only be recorded for analysis? Not every warning deserves a technician or a customer notification. A connected service needs thresholds, priorities, escalation rules, and a clear understanding of what can be automated safely.

Who is responsible when something happens: an internal operator, a partner, a contractor, the customer’s site team, or the device owner? If responsibility is not built into the workflow, alerts become shared noise rather than managed service events.

The commercial model should also be tested early. Which actions belong to the standard service? Which ones are part of a premium plan? Should usage data affect billing, entitlements, warranty terms, or service limits? These questions are difficult to solve late because they affect platform logic, portal visibility, reporting, and integrations.

Finally, teams should decide what must be reusable from the start. Device onboarding, monitoring, roles, alerts, lifecycle records, reporting, and integrations are not differentiators by themselves. The differentiator is how these capabilities support the company’s specific service promise.

Conclusion: From connected equipment to connected business

Connected equipment gives the business live data, but live data is still only raw material. It does not automatically become a service, and it certainly does not guarantee recurring revenue.

The harder work is operational. Device events have to enter workflows. Alerts need owners. Maintenance actions need rules. Customers and partners need the right visibility. Billing or entitlement logic has to reflect what the provider is actually delivering.

That is why repeatability matters so much. A company should not reinvent the same IoT mechanics for every customer, site, or equipment type. It should reuse the foundation where requirements are common and customize the logic where the business model is different.

Dashboards still have a role, but they are not the business outcome. The more useful question is what happens after the data appears: who acts, how quickly, under which rules, and with what value for the customer.

A connected service pays off when equipment data stops being something teams watch from a distance and becomes something the business can act on, package, and deliver reliably.

Ambani & Mittal Join Global AI Commission to Shape Responsible Tech Future

Mukesh Ambani (Reliance Industries) and Sunil Bharti Mittal (Bharti Enterprises) have been named founding members of the ITU-backed AI for Good Global Commission, joining over 40 world leaders and tech executives to shape responsible, inclusive AI adoption worldwide. The inaugural meeting will take place in Geneva from July 7–10, 2026.

The International Telecommunication Union (ITU) is the United Nations’ specialized agency for digital technologies (ICTs), headquartered in Geneva, Switzerland. It coordinates global telecom networks, allocates radio spectrum, sets technical standards, and works to expand digital access worldwide. 

Mukesh Ambani & Sunil Mittal Join ITU AI Commission

India’s role in the ITU-backed AI for Good Global Commission is both strategic and symbolic — positioning the country as a key voice in shaping global AI governance. With Mukesh Ambani (Reliance Industries) and Sunil Bharti Mittal (Bharti Enterprises) as founding members, India’s presence reflects its ambition to influence how AI is deployed responsibly across sectors and geographies.

About the AI for Good Global Commission

• Launched by ITU – International Telecommunication Union, Rwanda’s President Paul Kagame, Salesforce CEO Marc Benioff, and ITU Secretary-General Doreen Bogdan-Martin.
• Founding members – Ambani, Mittal, Lakshmi Mittal (ArcelorMittal), Nvidia CEO Jensen Huang, Microsoft President Brad Smith, Amazon CEO Andy Jassy, Google’s James Manyika, Qualcomm CEO Cristiano Amon, Accenture CEO Julie Sweet, Vodafone CEO Margherita Della Valle.
• Mission – Strengthen trust in AI, expand access, and accelerate AI’s use to solve global challenges.

Key Priorities

• AI Trust – Promote responsible AI to build public confidence.
• AI Access – Expand digital connectivity; with 2.2 billion people still offline, bridging the digital divide is central.
• AI Impact – Accelerate AI deployment for healthcare, education, and sustainability.
• Developing countries’ voice – Ensure equitable participation in shaping AI governance.

Upcoming Events

• Inaugural Meeting – July 7–10, 2026, Geneva, during ITU’s AI for Good Global Summit.
• Digital Week – July 6–10, 2026, includes the first UN-mandated Global Dialogue on AI Governance and WSIS Forum 2026.

Why This Matters for India

• Strategic positioning – Ambani and Mittal’s inclusion highlights India’s growing influence in global AI governance.
• Industry impact – Reliance and Bharti’s participation could accelerate AI adoption in telecom, cloud, and digital services.
• Policy influence – India gains a stronger voice in shaping international AI standards and equitable access frameworks.

Challenges Ahead

• Digital divide – With billions offline, equitable AI adoption remains a pressing issue.
• Governance gaps – Balancing innovation with safety, ethics, and regulation will be complex.
• Global coordination – Aligning governments, tech firms, and multilateral bodies requires sustained collaboration.

ITU is central to initiatives like the AI for Good Global Summit and the World Summit on the Information Society (WSIS). It plays a major role in global digital cooperation, ensuring equitable access and responsible governance of emerging technologies.

The ITU plays a central role in global AI governance by providing a neutral UN platform where governments, industry, academia, and civil society co‑create frameworks to ensure AI is safe, inclusive, and beneficial for all. It convenes dialogues, publishes governance reports, and develops standards to bridge the gap between principles and practical regulation.

Business Loans to Entrepreneurs Grew Faster Than Those to Commercial Entities Over Three Years

• Individual borrower business-oriented loans balances grew 1.8 times between March 2023 and March 2026, outpacing entity borrower balance growth at 1.5 times.
• Substantial scope for expansion in MSME credit access, with nearly 41% commercial enterprises having formal credit access in entity or individual capacity
• Overall commercial portfolio remained stable at 1.8% as of March 2026. The analysis identified emerging signs of risk in specific borrower segme

India’s commercial credit market is seeing a shift in borrower composition, with individual borrowers with business-oriented loans now forming a meaningful share of overall commercial credit balances, according to the latest MSME Pulse released by TransUnion CIBIL and the Small Industries Development Bank of India (SIDBI).

Loans to individuals accounted for 28% of outstanding commercial balances, while loans to entities accounted for 72%. Individual borrower balances grew 1.8 times during the three-year period between March 2023 and March 2026, compared with 1.5 times growth in entity borrower balances during the same period.

The report finds that outstanding commercial credit stood at ₹65.8 lakh crore as of March 2026, across 4.4 crore active commercial trades. This is a year-over-year (YoY) growth of 14% compared to the total outstanding credit of Rs 57.9 lakh crore as of March 2025.

Chart 1: Individual Business Borrowers Credit Profile

Individual Borrowers Form a Sizeable Business Credit Segment

As of March 2026, 2.8 crore individual borrowers had active business-oriented loans. Of these borrowers, 43% were early-stage as commercial entities with credit history of less than 24 months, highlighting a borrower segment that is active in business-purpose borrowing while still being relatively new as commercial entities. Almost half (48%) the share of the total Non-Banking Financial Companies’ (NBFCs) Commercial Balances pertained to Individual Borrowers. All other lender categories have a much lower share, with private banks the second largest at 24% of the commercial balance share among individual borrowers.

The individual borrower segment has been increasingly visible across key commercial credit products. Loans against property formed the largest share of outstanding balances for this borrower group, followed by commercial vehicle loans and unsecured business loans. At a product level, individual borrowers accounted for 68% of loan against property balances, 76% of commercial vehicle balances and 67% of unsecured business loan balances. The report notes that loans against property, commercial vehicle loans, unsecured business loans, term loans, overdraft and cash credit together formed ~87% of outstanding commercial credit balances.

Bhavesh Jain, MD & CEO, TransUnion CIBIL, said: “In India’s MSME economy, the entrepreneur and the enterprise are often deeply connected, particularly in the early years of business growth. A proprietor may borrow in an individual capacity, but the credit is frequently linked to business activity, working capital needs or asset creation. This makes individual business borrowing an integral part of how commercial credit is evolving, and it deserves to be understood within the broader MSME credit landscape.

 
As MSMEs grow, their credit needs also change, from small-ticket working capital to larger, sector-led funding requirements. The real opportunity for the credit ecosystem lies in understanding this progression with greater clarity, especially as borrowers move from individual business borrowing to entity-level credit, or from trade-led borrowing to manufacturing-led expansion.”

Formal Credit Access Remains a Large Opportunity

The share of new-to-credit (NTC) entities in origination volumes declined from 52% in FY23 to 42% in FY26, indicating that the pace of first-time formal credit onboarding has moderated in recent years. 

Chart 2: NTC Opportunity Sizing

NTC originations among commercial entities were concentrated in smaller ticket sizes. The report finds that 60% of these originations were in the ₹2 lakh to ₹10 lakh ticket-size segment, while 34% were in the ₹10 lakh to ₹2 crore segment. It also notes that 75% of ₹2 lakh to ₹2 crore NTC entity borrowers had prior retail credit experience, showing that first-time entity borrowers may enter formal commercial credit through different borrower pathways.

Emerging Pockets Of Risk in Specific Borrower Segments

While overall commercial credit portfolio performance remained stable as of March 2026, the report indicates elevated delinquency levels in certain borrower and product segments. Delinquency (measured as share of balances in 90+ Days Per Due (DPD) or classified sub-standard) in unsecured business loans to entities stood at 7.2%, up 274 basis points (bps) over three years. The ₹2 lakh to ₹10 lakh entity borrower segment recorded delinquency of 5.6%, up 111 basis points over the same period.

Signs of stress were also seen in early delinquencies (measured as accounts ever in 90+ DPD in first 12 months since origination) as well, for both unsecured business loans to entities and for the ₹2 lakh to ₹10 lakh entity borrower segment. For originations in the March 2025 ending quarter, for unsecured business loans to entities, early delinquencies were 2.9 times higher, while for the ₹2 lakh to ₹10 lakh entity borrower segment, early delinquencies were 2.1 times higher than the overall early delinquency of 3.4% for loans to entities originated in the same period.

Sectoral Patterns Point to Different MSME Credit Structures. 

The report shows that commercial credit patterns vary across sectors by exposure size and geography. Textiles, professional services, wholesale trade and infra-linked industries are led by the ₹10 lakh to ₹2 crore exposure segment. Maharashtra and Gujarat the leading states across key industries such as textiles, food processing. The report identifies manufacturing as a sector with strong concentration in industrial clusters.
Trade showed a different pattern, with retail trade anchored in the ₹2 lakh to ₹10 lakh exposure segment and wholesale trade led by the ₹10 lakh to ₹2 crore segment basis share of entities with live loans. Uttar Pradesh ranked first in both retail and wholesale trade counts, while Uttar Pradesh, and West Bengal appeared among the other leading states. In professional services, the report shows a higher share of entities in small exposure segments of ₹10 lakh to ₹2 crore, with Maharashtra, Karnataka and Tamil Nadu among the leading states.

Mr Jain said: “MSMEs remain central to India’s enterprise base, employment creation and regional economic growth. As more small businesses seek formal credit, it is important to recognise the diversity within the MSME segment. A micro enterprise seeking working capital, a trade borrower operating in a local market and a manufacturing unit looking to scale will have different credit needs, business cycles and growth paths. Expanding formal credit access for MSMEs has to go hand in hand with a deeper understanding of these differences. A more granular view across sectors, ticket sizes and geographies can help the ecosystem serve smaller and emerging enterprises while maintaining a focus on sustainable credit growth.”

About TransUnion CIBIL

India’s pioneer information and insights company, TransUnion CIBIL, makes trust possible by ensuring each person and business entity is reliably represented in the marketplace. We do this by providing an actionable view of consumers and businesses, stewarded with care.

We have developed technology and innovative solutions across core credit, risk and advanced analytics. As a result, consumers and businesses can transact with confidence and achieve great things. We call this Information for Good® — and it leads to economic opportunity, great experiences, and personal empowerment for millions of people and commercial enterprises in India.

We serve the financial sector as well as commercial enterprises and individual consumers. Our customers in India include banks, credit institutions, NBFCs, housing finance companies, microfinance companies, telecom companies and insurance firms.

For more information visit www.transunioncibil.com

About SIDBI

Since its formation in 1990, SIDBI has been touching the lives of citizens across various strata of society through its integrated, innovative and inclusive approach for all round development of MSMEs. SIDBI has directly or indirectly through various credit and developmental measures impacted the myriad Micro, Small and Medium Enterprises (MSMEs) in the country, whether they are traditional, domestic small entrepreneurs, bottom-of-the-pyramid entrepreneurs, or high-end knowledge-based entrepreneurs.
For more information, please visit: https://www.sidbi.in/