The Government of India has started something cool called the Credit Guarantee Scheme for MSME 2024. This scheme helps small and micro enterprises in India to get term loans easily. With this money, they can buy new machines for their businesses. The finance minister of India wants to make sure that small companies get the support they need.
One great thing about the Credit Guarantee Scheme for MSME 2024 is that these small and micro enterprises do not need to give any Collateral or third-party guarantees when buying machines. This means it is easier for them to get loans.
The Government of India is also creating a special guarantee fund. This fund can go up to INR 100 crore for each person who applies. That’s a big amount to help many people!
About Credit Guarantee Scheme for MSME
During the presentation of the union budget for the Year 2024-25, India’s finance minister, Nirmala Sitharaman, introduced a new scheme. This scheme is really cool because it helps small and micro-enterprise owners. If you run a small or micro business, this scheme can be a big help for you!
The great thing about this scheme is that small and micro-enterprise owners don’t have to give any collateral or third-party guarantee to buy machinery. This means you can get the machinery you need without stressing about money troubles.
Thanks to this scheme, small and micro-enterprise owners can buy expensive machines easily. So, if you have a small business and want to grow, this scheme is here to make things easier for you!
Also Read: Mudra Loan Scheme 2.0
Credit Guarantee Scheme Objective
The main aim of this scheme is to help small and micro-businesses grow their business. With the latest technology machines, small and micro enterprises can boost their production easily.
According to the scheme, the Government of India will give a guarantee fund of INR 100 crore for each small and micro-enterprise in India. This means that they will support them financially.
Borrowers will need to pay a guarantee fee at the start and then a yearly fee based on the reduced loan balance. This way, small and micro enterprises can manage their loans better.
This scheme is great because it will improve the social status and living standards of all small and micro-business owners in India. It can change lives and help many people succeed in their businesses.
Summary of Credit Guarantee Scheme for MSME
| Name of the scheme | Credit Guarantee Scheme for MSME |
| Introduced by | Government of India |
| Objective | Provide financial assistance |
| Beneficiaries | Small and micro business owners |
| Official website | https://www.cgtmse.in |
Eligibility Criteria
- The applicant must be a permanent resident of India.
- The applicant must be a small and micro business owner.
Benefits of the Credit Guarantee Scheme
- With the help of this scheme, the Government of India will provide a credit guarantee fund to all small and micro business owners.
- A total of 100 crores of credit guarantee will be given to each MSME owner under the scheme.
- With the help of this scheme, MSME owners can buy machinery with the latest technology without worrying about financial trouble.
- Small and microbial enterprises can increase their business significantly with the help of this scheme.
Also Read: NPS Vatsalya Scheme
Required Documents
- Aadhar Card
- Ration card
- Mobile Number
- Electricity bill
- Address Proof
- PAN Card
How to Apply Online for Credit Guarantee Scheme for MSME
STEP 1: All the applicants who clear the eligibility criteria must visit the official CGTMSE website and fill out the application form to avail of the benefits of the Credit Guarantee Scheme for MSME.
STEP 2: Once the applicant reaches the homepage of the official website the applicant must click on the option New Member Registration.
STEP 3: A new page will appear on your desktop screen the applicant must enter all the details that are asked and attach all the necessary documents on the application form.
STEP 4: After entering all the details the applicant must quickly review it and click on the option submit to complete their process.
Credit Guarantee Scheme for MSME Offline Application Process
STEP 1: To apply for the scheme offline the applicants are requested to visit the nearest bank branch or regional office.
STEP 2: Once the applicant reaches the official Bank branch or regional office the applicant must consult with the concerned official.
STEP 3: From the concerned official the applicant will receive an application form. The applicant must fill out all the details that are asked for and attach all the necessary documents on the application form.
STEP 4: After entering all the details the applicant must quickly review it and submit the application form to the concerned official.
Contact Details
- Phone No:- (022): 6722 1553, 6722 1438, 6722 1483
FAQs
When was the Credit Guarantee Scheme for MSME 2024 announced?
The scheme was announced during the representation of the union budget for the financial year 2024-25 Credit Guarantee Scheme for MSME 2024.
What is the total credit guaranteed that the government will provide?
The total credit guarantee of INR 100 crore will be provided by the government of India for every MSME owner.
What is the main objective of launching the Credit Guarantee Scheme for MSME 2024?
The main objective of launching the scheme is to help the MSME owners with the latest machinery without worrying about financial troubles.