Govt modifies Mutual Credit Guarantee Scheme to support MSME manufacturers, exporters

NEW DELHI: The government Saturday approved modifications to the Mutual Credit Guarantee Scheme for MSMEs (MCGS-MSME) by facilitating greater credit availability for acquiring plant, machinery and equipment by medium and small medium enterprises (MSMEs) with the aim of giving a major boost to the manufacturing and export sectors in the country.

The finance ministry in a statement said special provisions have been incorporated in the scheme for exporters, which includes a guaranteed loan of Rs 20 crore for eligible exporters having profitable units who have earned at least a quarter of their revenues from exports in each of the last three financial years, and satisfied certain export realisation conditions.