The scheme is intended to provide 100% credit guarantee coverage by National Credit Guarantee Trustee Company Limited (NCGTC) to member-lending institutions (MLIs) for extending additional credit facilities up to Rs 20,000 crore to eligible exporters, including MSMEs.
The scheme shall be implemented by Department of Financial Services (DFS) through National Credit Guarantee Trustee Company Limited (NCGTC) to provide additional credit support by MLIs to the eligible exporters, including MSMEs.
A management committee formed under the chairmanship of Secretary, DFS, will oversee the progress and implementation of the scheme.
The scheme is expected to enhance the global competitiveness of Indian exporters and support diversification into new and emerging markets.
A collateral-free credit access under CGSE, it is claimed, will strengthen liquidity and ensure smooth business operations, reinforce India’s progress towards
Exports are a critical pillar of the Indian economy, accounting for nearly 21% of GDP in FY 2024-25 and contributing significantly to foreign exchange reserves. Export-oriented industries directly and indirectly employ over 45 million people and MSMEs contributing nearly 45% of total exports. Sustained export growth has been instrumental in supporting India’s current account balance and macroeconomic stability.
“It is important to extend enhanced financial assistance and adequate time to exporters for diversifying their markets and enhance global competitiveness of Indian exporters,” said a release.
