Budget 2023: Credit guarantee scheme to be infused with Rs 9,000 cr for MSMEs
Finance minister Nirmala Sitharaman announced that the revamped scheme will enable additional collateral-free credit of Rs 2 lakh crore
Finance Minister Nirmala Sitharaman has announced revamped credit guarantee scheme for MSMEs in the 2023-24 Union Budget today.
The scheme, which will take effect from April 1, 2023, will infuse Rs 9,000 crore into the corpus, enabling additional collateral-free credit of Rs 2 lakh crore to the MSMEs.
Despite war and global recession disruptions, sales across different MSMEs in India reportedly reached 90% of the pre-pandemic levels. The sector pinned hopes on this year’s budget to introduce schemes that could help MSMEs achieve self-reliance. The revamped credit guarantee schemes will give the sector a much-needed shot in the arm.
Last budget, Sitharaman introduced a slew of measures related to credit access for the MSMEs to help the sector recover from covid-related setbacks and employment-generation through digital channels.
