Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
Ministry Of Micro, Small and Medium Enterprises
CGTMSE enables micro and small enterprises to get collateral-free loans up to Rs 5 crore from banks and NBFCs, with the government guaranteeing up to 85% of the loan amount, reducing lenders' risk and easing MSME access to credit.
Key facts
- Nodal ministry
- Ministry Of Micro, Small and Medium Enterprises
- Level
- Central
- Launched
- 2000
- Last date
- Ongoing / No fixed deadline
- Helpline
- NA
What you get
Micro and small enterprises get collateral-free credit up to Rs 5 crore from eligible banks and NBFCs, with the government providing a credit guarantee cover of up to 85% of the loan amount to the lending institution.
Who is eligible
New and existing micro and small enterprises (both manufacturing and service sector) seeking collateral-free credit from member lending institutions are eligible.
Documents you need
Business registration/Udyam certificate, project report, bank account and KYC documents as required by the lending bank/NBFC.
How to apply
Approach any member lending institution (bank/NBFC) offering CGTMSE-backed loans and apply for a collateral-free loan; the bank processes the guarantee cover directly with CGTMSE.
Frequently asked questions
What is the maximum loan covered under CGTMSE?
Collateral-free credit facilities up to Rs 5 crore are covered under the scheme.
How do I get a CGTMSE-backed loan?
Apply directly at any member bank or NBFC offering CGTMSE cover; the guarantee is arranged by the lender.
Is CGTMSE only for new businesses?
No, both new and existing micro and small enterprises can avail collateral-free credit under CGTMSE.