Centre to issue loans up to Rs 100 cr for MSME units under  Mutual Credit Guarantee Scheme; check details

The Mutual Credit Guarantee Scheme for MSMEs (MCGS-MSME) has been approved by the Centre, providing a 60% guarantee coverage to Member Lending Institutions (MLIs) for credit facilities up to Rs.100 crore sanctioned to eligible MSMEs for equipment/machinery purchase. MLIs include SCBs, NBFCs, and AIFIs, with loans up to Rs 100 crore for plant and machinery eligible for guarantee coverage. The scheme applies to loans sanctioned within 4 years or until a cumulative guarantee of Rs. 7 lakh crore is reached, benefiting MSMEs registered under Udyam Registration Number with varying repayment periods and fees.

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