CGTMSE Approves Guarantees To 78 Lakh MSEs In Last 23 Years: MoS MSME

New Delhi, Dec 4 (KNN) The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) has permitted and extended the guarantees to 78,06,655 Micro and Small Enterprises under the Credit Guarantee Scheme for Micro and Small Enterprises, informed Minister of State for MSME, Bhanu Pratap Singh Verma in a written reply to the Rajya Sabha on Monday.

He noted that the scheme was started in 2000 and the data of guarantee extended is as of October 31, 2023.

As informed by CGTMSE, during the current year 52 programmes and training sessions for Banks/Financial Institutions have been organized, said the MoS MSME.

As per the guidelines of Credit Guarantee Scheme for Micro and Small Enterprises, CGTMSE provides credit guarantee to its Member Lending Institutions (MLIs) for the credit extended by them to Micro and Small Enterprises under the Credit Guarantee Scheme for Micro and Small Enterprises.

CGTMSE (Credit Guarantee fund Trust for Micro and Small Enterprises) is setup by GoI, & SIDBI in August 2000 to make collateral free credit facilities available to MSEs (Micro & Small Enterprises).

As per RBI guidelines, MSE advances guaranteed by CGTMSE will attract zero risk weight for the guaranteed portion and no provision is to be made for the guaranteed portion in case the advances covered under CGTMSE, becomes NPA.

(KNN Bureau)