**Executive Summary**
This document is a response to Lok Sabha Unstarred Question No. 2119, concerning the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) in Maharashtra. It provides data on credit guarantees extended to MSEs under the Credit Guarantee Scheme (CGS) in Maharashtra over the past three financial years, and outlines measures taken by the Government of India to improve access to credit for MSMEs, including first-generation entrepreneurs. The response was prepared by the Minister of State for Micro, Small and Medium Enterprises and is dated 12.02.2026.
**Key Points / Main Content**
* **Credit Guarantees in Maharashtra (CGS):**
* Financial Year 2022-23: 66,055 guarantees approved, totaling Rs. 11,926 crore.
* Financial Year 2023-24: 1,29,892 guarantees approved, totaling Rs. 23,359 crore.
* Financial Year 2024-25: 2,38,128 guarantees approved, totaling Rs. 39,989 crore.
* **Government Measures to Strengthen Access to Credit:**
* CGTMSE: The Ministry of MSME implements CGS for MSEs through CGTMSE to provide credit guarantees for loans extended to MSEs, with a ceiling of Rs 10 crore.
* Self-Reliant India (SRI) Fund: Set up to infuse Rs. 50,000 crore as equity funding in MSMEs, with Rs. 10,000 crore from the Government of India and Rs. 40,000 crore through Private Equity/Venture Capital Funds. The Budget 2026-27 has announced a support of Rs 2000 crore to top up the Self-Reliant India Fund.
* Prime Minister's Employment Generation Programme: Provides Margin Money subsidy up to 35% for new micro enterprises in the non-farm sector, with project costs of Rs. 50 lakh for Manufacturing and Rs. 20 lakh for Service enterprises.
* PM Vishwakarma Scheme: Launched on 17.09.2023 to provide end-to-end holistic support to artisans and craftspeople of 18 traditional trades, including loans up to Rs. 3 lakh with interest subvention of up to 8%.
* Trade Receivables Discounting System (TReDS): RBI has issued guidelines for operating TReDS to facilitate financing of trade receivables of MSMEs.
* Outreach Programmes: Ministry of MSME regularly organizes outreach programs with various stakeholders to raise awareness and expedite the flow of credit.
**Impact Analysis**
**MSEs (Micro and Small Enterprises) in Maharashtra**
* **Impact:** MSEs benefit from credit guarantees through the CGTMSE scheme. The government support through this scheme strengthens MSEs in Maharashtra by providing credit and enabling the growth of such enterprises.
* **Action Required:** MSEs should be aware of and take advantage of the credit schemes available to them, especially the CGTMSE and the Self-Reliant India Fund. They should participate in outreach programs to understand the benefits and application processes.
**First-Generation Entrepreneurs**
* **Impact:** These entrepreneurs gain improved access to credit through government initiatives.
* **Action Required:** First-generation entrepreneurs need to familiarize themselves with the loan schemes and the various support structures in place. They should engage with District Industries Centres (DICs) and other stakeholders to leverage the available resources.
**Banks and Financial Institutions**
* **Impact:** Banks need to operate within the guidelines of the CGTMSE scheme and other government initiatives.
* **Action Required:** Banks need to actively participate in the CGTMSE and TReDS schemes. They should also coordinate with DICs and other stakeholders to expedite the flow of credit to MSMEs.
**Artisans and Craftspeople**
* **Impact:** Benefit from the PM Vishwakarma Scheme, which provides support and loans.
* **Action Required:** Artisans and craftspeople should apply for the PM Vishwakarma Scheme to get financial and holistic support.
Key Entities Referenced
Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE): Trust providing credit guarantee for loans extended to MSEs.
Credit Guarantee Scheme (CGS): Scheme implemented by Ministry of MSME through CGTMSE to provide credit guarantee for loans to MSEs.
Maharashtra: Indian state, the geographical area of focus for the question regarding MSMEs and credit support.
Ministry of Micro, Small and Medium Enterprises: The central ministry responsible for implementing schemes and policies for MSMEs.
Prime Minister's Employment Generation Programme: Scheme providing margin money subsidy for setting up new micro enterprises.
GOVERNMENT OF INDIA
MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES
LOK SABHA
UNSTARRED QUESTION NO. 2119
TO BE ANSWERED ON 12.02.2026
CGTMSE IN MAHARASHTRA
2119. SHRI OMPRAKASH BHUPALSINH Alias PAVAN RAJENIMBALKAR:
Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:
(a) the number of Micro, Small and Medium Enterprises (MSMEs) in the rural areas of
Maharashtra that have received credit support under the Credit Guarantee Fund Trust for Micro and
Small Enterprises (CGTMSE) during the last three years;
(b) whether the Government has identified the credit-related hurdles being faced by first-
generation entrepreneurs and if so, the details thereof;
(c) the measures proposed to simplify the availability of collateral-free loans through digital
platforms; and
(d) whether any coordination mechanism exists with District Industries Centres (DICs) and Banks
to expedite the flow of credit and if so, the details thereof?
ANSWER
MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES
(SUSHRI SHOBHA KARANDLAJE)
(a): The details of credit guarantees extended to Micro and Small Enterprises (MSEs), including
those in rural areas, under the Credit Guarantee Scheme (CGS) for MSEs in Maharashtra during the last
three years are as below:
CGS – Guarantees approved- Maharashtra
Financial Year No. of guarantees approved Amount approved (in Rs. crore)
2022-23 66,055 11,926
2023-24 1,29,892 23,359
2024-25 2,38,128 39,989
(b) to (d): Government of India has, inter-alia, taken the following measures to strengthen access to
credit for Micro Small and Medium Enterprises (MSMEs), including first generation entrepreneurs: -
(i) Ministry of MSME implements CGS for MSEs through Credit Guarantee Fund Trust for Micro
and Small Enterprises (CGTMSE) to provide credit guarantee for loans extended to MSEs. The
ceiling for guarantee coverage under the scheme is Rs 10 crore.
(ii) Self-Reliant India (SRI) Fund has been set up to infuse Rs. 50,000 crore as equity funding in
MSMEs with a provision of Rs. 10,000 crore from the Government of India and Rs. 40,000
crore through Private Equity/Venture Capital Funds. The Budget 2026-27 has also announced a
support of Rs 2000 crore to top up the Self-Reliant India Fund set up in 2021 to continue
support to micro enterprises.: 2 :
(iii) Prime Minister's Employment Generation Programme provides Margin Money subsidy up to
35%, for setting up of new micro enterprises, in the non-farm sector with project cost of Rs. 50
lakh for Manufacturing and Rs. 20 lakh for Service enterprises.
(iv) PM Vishwakarma Scheme was launched on 17.09.2023 to provide end-to-end holistic support
to artisans and craftspeople of 18 traditional trades who work with their hands and tools. The
Scheme includes provision of loans up to Rs. 3 lakh with interest subvention of max up to 8%.
(v) Reserve Bank of India has issued guidelines for setting up and operating the Trade Receivables
Discounting System (TReDS). The scheme facilitates the financing of trade receivables of
MSMEs from corporate and other buyers, including government departments and Public Sector
Undertakings (PSUs) through multiple financiers electronically.
Ministry of MSME, through its field offices, regularly organizes outreach programmes in
coordination with MSME/Industry Departments of States/UTs concerned including District Industries
Centres (DICs) and other stakeholders like CGTMSE, SIDBI, Banks, MSME Associations etc., to
create awareness about the benefits of the Schemes and to expedite the flow of credit.
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