Micro, Small, and Medium Enterprises (MSMEs) are vital contributors to economic growth by creating jobs and fostering innovation. The aim of the study is to analyze the barriers MSMEs enquire during accessing financial support from commercial banks and to appraise the role of commercial banks in the expansion progress of MSMEs. . For this study, 120 respondents were selected from Kanniyakumari district using convenience sampling method. Primary and secondary data were collected for this study and SPSS tools were used to analyze the data. The research found that there is significant relationship between the areas of residents in the role played by commercial banks in the development of MSMEs. The study suggests that Banks can implement AI-powered virtual assistants to guide MSMEs through the loan application process. It should actively promote their specialized MSME financial products, services and tailored funding options. This research concludes that by embracing these strategies, commercial banks can enhance financial inclusion, support MSME growth, and contribute to overall economic development