Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)

About the Scheme

CGTMSE was set up to strengthen credit delivery system and facilitate flow of credit to the MSE sector. It provides guarantee cover for collateral-free credit facilities extended by eligible lending institutions to Micro and Small Enterprises. The guarantee cover ranges from 75% to 85% of the credit facility. From FY 2023-24, the guarantee cover has been enhanced up to ₹2 crore.

Benefits

• Collateral-free loans up to ₹2 crore
• Guarantee cover of 75%-85%
• Available through all scheduled commercial banks and select NBFCs
• Quick loan processing

Eligibility Criteria

• 1Micro or Small Enterprise as per MSMED Act
• 2Valid Udyam Registration
• 3Borrower should not have defaulted on any loan
• 4Loan amount up to ₹2 crore

Documents Required

Frequently Asked Questions