Lok Sabha Unstarred Question No. 185, to be answered on 29-01-2026, concerns credit guarantee schemes for MSEs. The Ministry of MSME implements the Credit Guarantee Scheme (CGS) for Micro and Small Enterprises (MSEs) through the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) to provide credit guarantees for loans extended to MSEs for activities covered under the MSMED Act, 2006.
The following table details the CGS-approved guarantees during FY 2020-21 to FY 2024-25:
| Financial Year | No of guarantees approved | Amount of guarantees approved (in Rs. crore) |
|---|---|---|
| 2020-21 | 8,35,592 | 36,899 |
| 2021-22 | 7,17,020 | 56,172 |
| 2022-23 | 11,65,786 | 1,04,781 |
| 2023-24 | 17,24,073 | 2,02,807 |
| 2024-25 | 27,15,275 | 3,05,507 |
Key Entities Referenced
Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE): A trust implementing credit guarantee schemes for MSEs.
Credit Guarantee Scheme (CGS): A scheme implemented by the Ministry of MSME for Micro and Small Enterprises (MSEs).
Ministry of Micro, Small and Medium Enterprises: The government ministry responsible for implementing the CGS.
MSMED Act, 2006: Act covering activities for which credit guarantees are provided to MSEs.
Micro and Small Enterprises (MSEs): The target beneficiaries of the Credit Guarantee Scheme (CGS).
GOVERNMENT OF INDIA
MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES
LOK SABHA
UNSTARRED QUESTION NO. 185
TO BE ANSWERED ON 29-01-2026
CREDIT GUARANTEE SCHEMES FOR MSEs
185. SMT. GENIBEN NAGAJI THAKOR:
Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:
(a) the credit guarantee schemes currently in place for Micro and Small Enterprises (MSEs) in
the country, especially under the Credit Guarantee Fund Trust for Micro and Small Enterprises
(CGTMSE);
(b) the number of enterprises which were sanctioned loans under the said scheme from 2021 to
2025 and the total amount guaranteed under the said scheme; and
(c) whether there is any plan to provide collateral-free loans to small traders and self-employed
persons and to expand the scope of the scheme and if so, the details thereof?
ANSWER
MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES
(SUSHRI SHOBHA KARANDLAJE)
(a) to (c): The Ministry of MSME implements Credit Guarantee Scheme (CGS) for Micro and
Small Enterprises (MSEs) through Credit Guarantee Fund Trust for Micro and Small Enterprises
(CGTMSE) to provide credit guarantee for the loans extended to MSEs for the activities covered
under the MSMED Act, 2006.
Details of the credit guarantees approved under CGS during FY 2020-21 to FY 2024-25 are as
below:
CGS- Guarantees Approved
Financial Year No of guarantees approved Amount of guarantees
approved (in Rs. crore)
2020-21 8,35,592 36,899
2021-22 7,17,020 56,172
2022-23 11,65,786 1,04,781
2023-24 17,24,073 2,02,807
2024-25 27,15,275 3,05,507
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