December 20, 2025 Summary: To ease the credit crunch, the government has announced a massive expansion of the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). The guarantee cover for startups has been doubled from ₹10 crore to ₹20 crore, while for micro and small enterprises, it has been raised to ₹10 crore. This move allows entrepreneurs to access collateral-free loans with lower interest rates.
Credit Guarantee Cover Doubled: ₹20 Crore for Startups and ₹10 Crore for MSMEs
