Micro, Small and Medium Enterprises (MSMEs) have been widely recognized as pivotal drivers of India’s economic and social transformation, yet limited empirical work has linked their export performance with concrete socio-economic outcomes at the state level. This study examined the extent to which export-oriented MSMEs contributed to regional development, poverty reduction, and enhancement of beneficiaries’ quality of life in Rajasthan. Drawing on primary data from beneficiaries across major export districts, the research employed an integrated structural model to capture the relationships between export performance, social development, and economic development. The findings indicated that stronger export performance of MSMEs was associated with improved income, employment opportunities, and living standards, alongside positive effects on local infrastructure, skill development, and community welfare. The results also underscored the role of human capital, technological adoption, and supportive policy frameworks in reinforcing export competitiveness and deepening socio-economic gains. The study concluded that MSME export promotion functioned not only as a growth strategy but also as an instrument of inclusive and regionally balanced development. It recommended integrated policy measures that combine financial support, innovation incentives, and targeted capacity building to maximise the developmental impact of MSME exports in Rajasthan.