Credit Guarantee Scheme for Micro & Small Enterprises (CGTMSE)
The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) is a government-backed initiative that facilitates easy access to credit for micro and small enterprises without requiring collateral or third-party guarantees. The scheme provides a guarantee cover for loans up to ₹5Cr, enabling small businesses to obtain finance for their growth, expansion, and operational needs. By reducing the dependence on collateral, CGTMSE encourages banks and financial institutions to lend to MSMEs, strengthening the overall ecosystem for small businesses in India
Benefits
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Collateral-free loans under CGTMSE; no third-party guarantee needed.
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High guarantee coverage up to ₹10 crore for various categories.
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Partial collateral allowed; unsecured portion guaranteed.
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Easier credit access for MSMEs and first-time entrepreneurs.
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Bank protection with fast claim settlement.
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Covers term loans and working capital.
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Digital processing and monitoring system.
Eligibility
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Eligible borrowers: Active, viable micro/small enterprises in manufacturing, services, trading, or education.
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Eligible loans: Term loans, working capital, and non-fund loans within CGTMSE limits.
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Not eligible borrowers: Wilful defaulters, fraudsters, or entities with past CGTMSE defaults.
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Not eligible loans: Already guaranteed, fully collateralized, stressed, or NPA-prone loans.
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Conditions: Bank rating for loans above ₹50 lakh; renewable WC guarantee; composite loans allowed.
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Eligible lenders: CGTMSE-approved banks, SFBs, RRBs, co-op banks, SFCs, and NBFC-MFIs.
Required Documentation
Identity proof (Aadhaar Card, Voter ID Card, etc.)
Proof of age
Caste certificate, if applicable
Disability certificate, if applicable
Any other document, if required
How to Apply?
Identify eligible financial institutions registered under CGTMSE.
Prepare the required documents, including identity proof, proof of age, caste certificate (if applicable), disability certificate (if applicable), and any other document, if required.
Submit the loan application along with the required documents to the selected financial institution.
For more support, reach out to DITC, Udyog Bhavan, Near Azad Maidan, Panjim, Goa-403001.
Scheme
Details & Documents
| S.No. | Document Name | Document Type | Action |
| 1 | CGTMSE(Credit Guarantee Fund Trust for MSE) Scheme Document | PDF File | Download |