CGTMSE Hits 1 Crore Guarantee Milestone for MSEs

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) marked a milestone by approving 1 crore guarantees for MSEs. The entity, created by the government and SIDBI, supports businesses by enabling access to credit without collateral. Officials highlighted the Rs 4 lakh crore guarantees extended in recent years.

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) has reached a significant milestone, approving 1 crore guarantees for MSE beneficiaries. Established in August 2000 by the central government and SIDBI, CGTMSE facilitates easier access to credit for small businesses without requiring collateral or third-party guarantees.

To commemorate the achievement, an event was held with CGTMSE chairman Manoj Mittal and CEO Manish Sinha in attendance, alongside representatives from prominent banks like State Bank of India, HDFC Bank, and Union Bank, as well as various MSMEs. Three MSE borrowers and three key Member Lending Institutions were recognized for their contributions.

Mittal, speaking at the event, highlighted the transformative effect of credit guarantees on the MSE ecosystem, driving sustainable growth. Over the past two years, Rs 4 lakh crore in credit guarantees have been issued through CGTMSE, with government plans aiming to boost this figure by another Rs 5 lakh crore within the next two years.

(With inputs from agencies.)