India, March 21 -- The Government of India has issued a release:
Mutual Credit Guarantee Scheme for MSMEs (MCGS- MSME) was launched in January 2025. The scheme provides 60% guarantee coverage by National Credit Guarantee Trustee Company Limited (NCGTC) to Member Lending Institutions (MLIs) for credit facility upto Rs. 100 crore sanctioned to eligible Micro, Small and Medium Enterprises (MSMEs) under MCGS-MSME for purchase of equipment/ machinery.
Based on the feedback received from the MSMEs and lending institutions, some modifications have been done.
Modifications in the existing "MCGS-MSME" scheme:
Special provisions have been incorporated in the scheme for exporters:
Details of the modified scheme are available on www.ncgtc.in (NCGTC website).
Major Impact
MSMEs contribute around 30% to the GDP and over 45% to the exports of India and give employment to more than 35 crore workers. Achieving the vision of "Viksit Bharat 2047" requires strong, globally competitive, and sustainable MSMEs. The modifications in MCGS-MSME scheme are expected to facilitate increased availability of credit for purchase of Plant and Machinery / Equipment by MSMEs, including exporter MSMEs, and give a major boost to manufacturing and export sector in India.
Disclaimer: Curated by HT Syndication.
