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Exporters Secure Rs 3,141 Crore in Just One Month Under New Govt Scheme

The government has sanctioned 716 applications worth Rs 3,141 crore under the Credit Guarantee Scheme for Exporters within its first month of operation. The scheme, operational until March 2026, aims to provide collateral-free credit support of up to Rs 20,000 crore to boost exporter liquidity and business continuity. Implemented via the Jan Samarth Portal, it allows additional working capital loans to help MSMEs diversify into new global markets. This initiative supports a sector that employs over 45 million people and contributes nearly 45% of India's total exports, aiding macroeconomic stability.

Key Points: CGSE Scheme Sanctions Rs 3,141 Crore for Exporters in One Month

  • Rs 3,141 crore sanctioned
  • Supports MSME exporters
  • Enhances global competitiveness
  • Scheme open until 2026
2 min read

716 applications worth Rs 3,141 crore sanctioned under CGSE within 1 month: Govt

Under the Credit Guarantee Scheme for Exporters, 716 applications worth Rs 3,141 crore sanctioned in one month, boosting MSME liquidity and global competitiveness.

"This will thereby provide liquidity, ensure business continuity and create opportunities to expand into new markets. - Finance Ministry"

New Delhi, Jan 1

Under the Credit Guarantee Scheme for Exporters, 1,788 applications amounting to Rs 8,599 crore have been received till December 31, out of which a total of 716 applications have been sanctioned amounting to Rs 3,141 crore, which reflects a strong confidence among exporters and MSMEs, the government said on Thursday.

CGSE scheme is open till March 31, 2026 or until guarantees of value upto Rs 20,000 crore are issued. The scheme is being implemented by Department of Financial Services (DFS) through National Credit Guarantee Trustee Company Limited (NCGTC).

The CGSE has been made operational through Jan Samarth Portal since December 1, enabling banks and financial institutions (Member Lending Institutions or MLIs) to extend additional financial assistance to Indian exporters during a period of uncertain headwinds.

Further, the measure shall diversify export markets and enhance their global competitiveness.

The objective of this proactive intervention is to provide a credit guarantee for exporters and MSMEs which will facilitate additional credit for them. This will thereby provide liquidity, ensure business continuity and create opportunities to expand into new markets, according to Finance Ministry.

The scheme envisages additional collateral-free credit support of up to Rs 20,000 crore to direct and indirect exporter MSMEs through eligible MLIs.

With a working capital loan amount equivalent upto 20 per cent of their existing export credit/working capital limits, the scheme will facilitate exporters and MSMEs to develop capabilities and enhance their global competitiveness as well as take steps towards diversification into new and emerging markets.

With over 45 million people being directly and indirectly employed under the export-oriented industries, the MSMEs contribute nearly 45 per cent of total exports.

Such a sustained export growth has been instrumental in supporting India's current account balance and macroeconomic stability.

- IANS

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Reader Comments

P
Priya S
Good to see over 700 applications sanctioned so quickly. It shows there is genuine demand. My concern is whether this reaches the smallest exporters in tier-2 and tier-3 cities, or will it mostly benefit the established players in metros? The intent is great, execution is key.
R
Rohit P
Supporting MSMEs is supporting the backbone of our economy. 45% of exports and 45 million jobs! This scheme can help us compete better with countries like Vietnam and Bangladesh. We need to diversify beyond traditional markets. Jai Hind! 🇮🇳
S
Sarah B
Interesting data point. ~40% sanction rate (716 out of 1788) in the first month. I hope the remaining applications are processed with similar speed. Liquidity is the oxygen for business, especially with global headwinds. A pragmatic move by the Finance Ministry.
V
Vikram M
The 20% additional working capital limit is crucial. Often, we get orders but lack the funds to buy raw materials upfront. This scheme directly addresses that pain point. Hope the banks don't create unnecessary hurdles in disbursal.
K
Karthik V
While the scheme is welcome, I have a respectful criticism. The article mentions "uncertain headwinds" but doesn't detail them. Is there enough support and guidance for MSMEs on *how* to diversify into new markets? Credit is one thing, market intelligence and handholding is another.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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