The micro, small and medium enterprises (MSMED) act was notified in 2006 to address different issues affecting MSMEs inter-alia the coverage and investment ceiling of the sector. The MSMED Act seeks to facilitate the development of these enterprises in the MSME sector who have been able to survive, have realized the value of collaboration, strategic alliance, outsourcing, the flexible production system and have a global mindset. This paper examine the role of MSMEs sector.