Enhanced credit guarantee coverage to profit 2.7 mn women-led MSMEs: Manjhi

Women-owned micro and small enterprises will get enhanced credit guarantee coverage of 90 per cent under the CGTMSE scheme, after its board approved the new guidelines last week, Union Minister Jitan Ram Manjhi said on Tuesday.

The decision is expected to benefit 27 lakh women-led MSMEs, he said.

This is a significant step towards improving access of women entrepreneurs to collateral free-credit from banks.

Prior to the approval of the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) Board, women-owned units were entitled to getting 80 per cent credit guarantee coverage.

Talking about the enhanced guarantee coverage of 90 per cent, the minister said "27 lakh women-led MSMEs are expected to benefit from this initiative".

Briefing the media on the achievements of the Ministry of Micro, Small and Medium Enterprises in the first 100 days after the Narendra Modi-led government returned to power at the Centre, Manjhi said a grand programme is being organised in Wardh