Credit GuaranteeCGTMSE

Credit Guarantee Fund Trust for MSEs

Ministry of MSME & SIDBI

Collateral-free credit facility for Micro and Small Enterprises through guarantee coverage by Government.

Key Benefits

Collateral-free loans up to ₹10 Crore (increased from ₹5 Cr in 2023)
75-85% guarantee coverage (up to 90% for women entrepreneurs)
Term loan cover up to ₹20 Crore for exporter MSMEs
Low annual guarantee fee starting at 0.37%
Fast-track processing for eligible units

Key Features

No collateral/third-party guarantee required
Coverage through Member Lending Institutions (MLIs)
Startups: ₹20 Crore limit with 1% fee (Budget 2025)
PM Vishwakarma: Coverage up to ₹3,00,000

Eligibility

New and existing Micro & Small Enterprises with viable business plans

Subsidy / Benefit

No direct subsidy; provides guarantee cover for collateral-free loans

Data verified from official government sources