Not because of bad borrowers; but because of rigid, globally copied norms that ignore how small businesses actually work. Under current RBI rules, a 30-day delay kicks you into ‘SMA’ status; and suddenly, banks treat you like a default risk, even if you’re just waiting for client payments. For a garment unit or seasonal trader, cash flow isn’t linear; it’s lumpy. And that’s where the system fails. Nageswaran is pushing for smarter rules; norms that match India’s business cycles, not Geneva’s spreadsheets. He’s also calling for major deregulation to free up MSMEs from red tape, plus upskilling workers as AI reshapes jobs. The bigger message? Growth isn't just about lending more; it’s about lending better. And that starts with understanding how real businesses survive and thrive.