NEW DELHI: In a significant move aimed at empowering women entrepreneurs, India’s Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) has increased credit guarantee coverage to 90 per cent for women-led micro and small enterprises.
This enhanced coverage, approved by the CGTMSE board last week, is expected to benefit 27 lakh MSMEs across the country.
Major shift
The decision marks a major shift from the previous 80% credit guarantee, offering more robust support to women-owned businesses by facilitating greater access to collateral-free credit from financial institutions.
Union Minister Jitan Ram Manjhi highlighted the impact of this initiative, emphasising that it will significantly improve financing opportunities for women entrepreneurs, helping them scale their businesses.
