Amid Opposition protests, Rajya Sabha passes MSME Bill

Published 3 August 2026 · politics

Amid the Opposition’s uproar demanding an apology from Union Home Minister Amit Shah over the police action against protesting youth and students, the Rajya Sabha

Amid the Opposition’s uproar demanding an apology from Union Home Minister Amit Shah over the police action against protesting youth and students, the Rajya Sabha on Monday (August 3, 2026) passed the Micro, Small and Medium Enterprises Development (Amendment) Bill, 2026. The Upper House functioned for only 19 minutes in the morning, and after reconvening in the afternoon, was adjourned for the day soon after the Bill was passed. Opposition members did not participate in the discussion on the Bill. Amendments moved by INDIA bloc members Ajay Maken, John Brittas, V. Sivadasan and A.A. Rahim were defeated by a voice vote.

Parliament Monsoon Session: Follow LIVE updates on August 3, 2026 The Bill, which replaces the 2006 Act, provides for the notification of a national digital platform for the free and voluntary registration of micro, small and medium enterprises (MSMEs). According to Union MSME Minister Jitan Ram Manjhi, the legislation seeks to address the sector’s liquidity concerns by mandating all Central Public Sector Enterprises (CPSEs) to route invoice settlements through the Trade Receivables Discounting System (TReDS) for the procurement of goods and services from MSMEs. Replying to the debate, Mr. Manjhi said the Narendra Modi government had extended strong support to the MSME sector and remained committed to its growth.

He appealed to the Opposition to support the legislation, saying, “The objective is to balance the interests of all concerned parties while maintaining constitutional principles and the interests of businesses.” Highlighting the sector’s contribution to the economy, Mr. Manjhi said MSMEs contribute 31% to India’s GDP, 36% to the country’s manufacturing output and 41% to exports. He also said outstanding credit disbursed to MSMEs had risen to more than ₹38.35 lakh crore from ₹10 lakh crore in 2014-15. As the Opposition continued its protests in the House, Rajya Sabha Chairman C.P. Radhakrishnan expressed disappointment over the continued disruptions.

Some Left MPs displayed placards in the House, prompting the Chairman to say such conduct was not in order and warn that action would be taken if it continued. Leader of the Opposition Mallikarjun Kharge sought to speak, but the Chairman insisted that Opposition members first stop raising slogans and return to their seats. Although several MPs complied, intermittent sloganeering continued, forcing the Chair to adjourn the House until 2 p.m.