MSME Credit Guarantee Scheme (CGTMSE)
The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) was launched by the Ministry of MSME and SIDBI to facilitate the flow of institutional credit to the MSME sector. The primary objective is to provide credit guarantees to lenders, enabling them to offer collateral-free loans to new and existing micro and small enterprises. By mitigating the risk for financial institutions, the scheme encourages lending to viable projects that lack traditional security or third-party guarantees. Under this scheme, the trust covers a significant portion of the credit facility in case of default. It encompasses both term loans and working capital facilities. Recent reforms have enhanced the credit limit and reduced guarantee fees to further support small-scale entrepreneurs and promote industrial growth across India.
Eligibility
- • Target: founder
- • Category: MSME Loans
- • State: All India
Documents required
- ☐ Business registration certificate
- ☐ Udyam Registration Number
- ☐ Detailed Project Report (DPR)
- ☐ Audited financial statements
- ☐ Income Tax Returns (ITR)
- ☐ KYC documents of promoters
Frequently asked questions
Who is eligible for MSME Credit Guarantee Scheme (CGTMSE)?
Targeted at founders in All India under the MSME Loans category. Verify full eligibility on the official portal before applying.
What is the benefit amount?
Up to ₹5 Crore
How do I apply?
Apply directly on the official government portal linked above. YojanaRadar never charges to apply for any government scheme.
Is the deadline fixed?
Rolling applications. Confirm on the official portal.