Currently, the whole country is going across a stressful era. Pandemic has swept the whole planet into its grasp and has smudged the lives of citizens as well as the global economies as a result. COVID-19 has been one of the 2020 mega tragedies. The correlation is clear since the primary issue does seem to be unemployment and financial losses, which causes a huge decrease in consumer spending for all industrialized nations. Consequently, workers have been eliminated, and consumers have a drastic lack of their wages, creating a large fall in prices. Findings reflect that economies all around the world are suffering from COVID-19, which has made the entire world panic and the pandemic virus has taken over almost 195 countries in its grip. It is quite evident that the enterprises in the MSME sector are the most vulnerable ones in the era of the COVID-19 pandemic because of their size, the scale of operation, limited financial managerial resources, and more importantly, they do not have the capacity to deal with something so unexpected.

The study’s main aim is to figure out what function financial goods and services play in mediating the link between financial access and micro, small and medium enterprises (MSMEs)’ growth in developing markets. Consequently, this article aims to see whether the usage of monetary goods and services in a developing nation like India mediates the connection between financial access and MSMEs’ growth. The data were collected from 392 MSMEs in the Jammu region using a cross-sectional research method. The partial least squares structural equation modelling (PLS-SEM) technique was used to see whether the use of financial goods and services in developing nations had a mediating consequence on the link between financial access and MSMEs’ growth. The study exclusively collected data from MSMEs in India’s Jammu region. There is still the possibility of confirming this result in other emerging economies. MSMEs may participate in financial access initiatives provided by organisations to use financial services better.

Even though firm sustainability is a long-standing concern, just a few studies on micro, small and medium enterprises (MSMEs) sustainability have been conducted. Many studies have concentrated on a few particular sustainability criteria, but there is no comprehensive study on the subject from which to make concrete conclusions. The present research was inspired by the idea to examine how resources such as financial literacy, financial access and company development influence the sustainability of MSMEs. Data was gathered from 438 owner-managers of micro, small and medium enterprises through a questionnaire. The research discovered that financial literacy, financial availability and company growth are positively correlated with firm sustainability when using partial least squares. Surprisingly, the research found that financial access and firm growth moderate the anticipated connection between financial literacy and sustainability. As a result, policymakers and practitioners should ensure that firms have better access to financial resources, that owner-managers have the necessary financial literacy and that micro, small and medium-sized businesses grow effectively better firm sustainability.