MP High Court: Estranged Husband Entitled to Loss of Consortium Compensation After Wife’s Death  ||  J&K & Ladakh HC: Claims under Roshni Act Void Ab Initio, Ownership Rights Null from Inception  ||  Madras High Court Directs Expedited Trials in 216 Pending Criminal Cases Against MPs and MLAs  ||  MP High Court: Allowing Minor to Drive Without Valid License Constitutes Breach of Insurance Policy  ||  Punjab & Haryana High Court: Cyber Fraud Cases Uphold Public Trust, Cannot Be Quashed by Compromise  ||  SC: Customer-Banker Relationship Based on Mutual Trust, Postmaster’s Reinstatement Quashed  ||  Supreme Court: Company Buying Software for Efficiency and Profit Is Not a ‘Consumer’ under CPA  ||  SC: Long Custody or Trial Delay Not Ground for Bail in Commercial Narcotic Cases if S.37 Unmet  ||  Calcutta HC Disqualifies Politician Mukul Roy from Assembly under Anti-Defection Law  ||  Supreme Court Bans Mining in and Around National Parks and Wildlife Sanctuaries    

Centre launches the revamped CGTMSE Scheme - (27 Apr 2023)

Commercial

Union Minister for MSME launched the revamped CGTMSE Scheme (Credit Guarantee Fund Trust for Micro and Small Enterprises Scheme). CGTMSE has been provided with an additional corpus support of Rs. 9,000 crore in the Union Budget for FY 2023-24 to revamp its Scheme to provide guarantee for additional Rs. 2 lakh crore to Micro and Small Enterprises. Accordingly, the major revamp measures were launched and disseminated to the lending institutions.

The modifications included reduction in guarantee fees for loans upto Rs. 1 crore by 50% bringing the minimum guarantee fee to the level of 0.37% pa only. Another major change announced was raising of ceiling for guarantee from Rs. 2 crore to Rs. 5 crore and the threshold limit is enhanced for claim settlement without initiation of legal action to Rs. 10 lakh. While launching the revamp measures Union Minister impressed upon the lending institutions to make best use of liberalisation to ensure enhanced lending to the MSE Segment without insisting for collateral. These measures would enthuse bankers to reduce their dependence on availability of collateral security which continues to be a problem for MSEs, especially the first generation entrepreneurs.

Chairman and Managing Director, SIDBI (who is also the Chairman of CGTMSE) said that, CGTMSE has been taking various initiatives which aims at boosting credit flow to MSEs by making the guarantee Scheme attractive for both MSEs as well as for the lenders. He also indicated that CGTMSE would come out with more schemes and assured the lenders that it would always be nimble footed in responding to their requirements. These measures will go a long way in facilitating collateral free lending to MSEs in the country and thus, to create employment in a big way.

Tags : SCHEME   MEASURE   LAUNCH  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved