Mumbai, Jun 27 (PTI) Indian MSMEs will be a big draw for investments for both private equity and venture capital firms in the next five years as the country is expected to keep its growth momentum despite geopolitical crises, according to a venture fund.

With economists pinning their hopes on India to continue its growth stride despite global economic uncertainties and geopolitical crisis, MSMEs would become a big draw for investments, Holani Venture Capital Fund said.

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MSMEs are expected to increase their GDP share to 40 per cent by 2030, and the sector will witness significant momentum in the next five years, the fund's Chief Investment Officer Ashok Holani said.

"Abundant scope for the Indian MSMEs to gear up for its role in the growth story would also signify tremendous opportunities for investments -- both for PEs and VC funds," Holani said.

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MSMEs that would attempt new launches, product diversification, acquiring businesses and innovation will attract investments, he added.

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