Parliament Question: MSMEs in Peddapalli Lok Sabha Constituency

GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES LOK SABHA UNSTARRED QUESTION NO. 152 TO BE ANSWERED ON 29.01.2026 MSMEs IN PEDDAPALLI LOK SABHA CONSTITUENCY

152. SHRI VAMSI KRISHNA GADDAM:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

(a) the details of 1.5 lakh crore additional credit unlocked through enhanced Credit Guarantee cover from 5 crore to 10 crore announced in Budget 2025-26, specifically for Micro, Small and Medium Enterprises (MSMEs) in Peddapalli Lok Sabha Constituency;

(b) the number of micro and small enterprises in Peddapalli district that have applied for guarantee cover under the revised Credit Guarantee Fund Trust for Micro and Small Enterprises

(CGTMSE) scheme during January to July 2025;

(c) the distribution of guaranteed loans sanctioned for MSMEs in Peddapalli Lok Sabha Constituency, particularly for coal ancillary industries and thermal power equipment manufacturing units, sector-wise;

(d) the timeline for rollout of customised credit cards with Rupees 5 lakh limit targeting 10 lakh MSMEs, including a coverage plan for registered enterprises in Peddapalli district; and

(e) the measures taken to reduce guarantee fees and streamline the application process for MSMEs in Peddapalli Lok Sabha Constituency under the enhanced scheme? ANSWER MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE)

(a): In order to improve access to credit, the credit guarantee cover has been enhanced for Micro and Small Enterprises (MSEs), from Rs. 5 crore to Rs. 10 crore under Credit Guarantee Scheme (CGS) for MSEs in line with the Union Budget 2025-26. As a result, a total of 1,778 guarantees amounting to Rs. 12,498 crore have been approved to MSEs in the slab of Rs. 5 crore to Rs. 10 crore in the FY 2025-26 till 31.12.2025, out of which 1 guarantee amounting to Rs. 5 crore has been approved in the Peddapalli district.

(b): A total of 468 guarantees amounting to Rs. 50 crore have been approved to MSEs under CGS for MSEs during January to July 2025 in the Peddapalli district.

(c): Details of guarantees approved under CGS for MSEs, sector-wise in the Peddapalli Lok

Sabha Constituency are as below:: 2 :

CGTMSE - Guarantee Approved - Cumulative since inception as on Dec 31, 2025 Manufacturing Service Trade No. of Amount of No. of Amount of No. of Amount of Guarantees guarantees Guarantees guarantees Guarantees guarantees District Approved Approved Approved Approved Approved Approved in in Rs. in Rs. Rs. Crore Crore Crore Mancherial 438 61 995 73 1,042 79 Jagitial 457 152 1,006 79 1,625 75 Peddapalli 310 106 913 68 1,097 87

(d): As informed by Department of Financial Service, introduction of customized Credit Cards with Rs.5 lakh limit for Micro Enterprises registered on Udyam portal, targeting 10 lakh credit cards in the first year, in line with the Union Budget 2025-26 has been taken up.

(e): CGS was revamped from 01.04.2023, following a corpus infusion of Rs. 9,000 crore into CGTMSE. As part of the revamp, the Standard Rate of the Annual Guarantee Fee (AGF) was reduced by 50%, to as low as 0.37% per annum. AGF has been further rationalised for guarantees above Rs. 1 crore, effective from 01.04.2025. CGTMSE has leveraged technology through digital platforms, enabling easy online submission of application for guarantee coverage, automated processes for quicker guarantee approvals and API integration with MLIs for seamless data flow to the CGTMSE platform.

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