- Credit Guarantee Scheme fund increased by Rs. 9,000 crore, guarantee limit doubled to Rs. 10 crore for MSMEs.
- Prime Minister’s Employment Generation Programme and PM Vishwakarma offer subsidies and loans with interest support to micro enterprises and artisans.
- New digital platforms like SAMADHAAN Portal, TReDS, and Unified Lending Interface make financing easier and ensure timely payments for MSMEs.
Supporting MSMEs is a top priority for the Government of India, with improved schemes like the Credit Guarantee Scheme for Micro and Small Enterprises, Prime Minister’s Employment Generation Programme, PM Vishwakarma, Self Reliant India Fund, and new digital platforms such as SAMADHAAN Portal, Trade Receivables Discounting System (TReDS), and Unified Lending Interface (ULI). These efforts aim to improve credit access, boost growth, and make sure MSMEs get paid on time across the country.
Improved Credit Guarantee Scheme for MSMEs
To boost credit flow and liquidity for MSMEs, the government has added Rs. 9,000 crore to the Credit Guarantee Fund Trust for Micro and Small Enterprises. This increase allows an extra credit availability of Rs. 2.00 lakh crore at a lower cost. Also, the guarantee limit has been raised from Rs. 5 crore to Rs. 10 crore starting 1st April 2025, with guarantee coverage up to 90% for different loan types under the scheme. This change greatly improves credit access for MSMEs, helping them grow and sustain their businesses.
Prime Minister’s Employment Generation Programme and PM Vishwakarma Scheme
Prime Minister’s Employment Generation Programme supports new micro enterprises in the non-farm sector by offering a Margin Money subsidy of up to 35%. This subsidy applies to projects costing up to Rs. 50 lakh for manufacturing and Rs. 20 lakh for service enterprises, making it easier for entrepreneurs to start and expand their ventures.
Self Reliant India Fund: Helping Growth
Self Reliant India (SRI) Fund has been set up with Rs. 50,000 crore to provide equity funding to MSMEs that show potential to grow into large units. Of this, Rs. 10,000 crore comes from the Government of India, while Rs. 40,000 crore is raised through Private Equity and Venture Capital Funds. This fund aims to help MSMEs grow steadily and contribute more to the economy.
SAMADHAAN Portal and Online Dispute Resolution for Timely Payments
Getting payments on time is very important for MSMEs’ cash flow and survival. The Ministry of MSME launched the SAMADHAAN Portal on 30th October 2017 to track outstanding dues to Micro and Small Enterprises. So far, 161 Micro & Small Enterprises Facilitation Councils (MSEFCs) have been set up across States and Union Territories to handle payment delays.
To strengthen this, the Ministry launched the Online Dispute Resolution (ODR) Portal on 27th June 2025. This digital platform offers complete resolution of delayed payment cases, making the process faster, clearer, and easier for MSMEs.
Trade Receivables Discounting System (TReDS) for MSME Financing
Reserve Bank of India has issued guidelines for the Trade Receivables Discounting System (TReDS), an electronic platform that helps finance trade receivables of MSMEs from corporates, government departments, and Public Sector Undertakings (PSUs) through multiple financiers. Currently, five entities run TReDS, helping MSMEs improve liquidity by turning receivables into immediate funds.
Also, the monetary limit for onboarding corporates and CPSEs on TReDS has been lowered to a turnover of Rs. 250 crore as per the notification dated 7th November 2024, allowing more buyers to join and support MSME financing.
Unified Lending Interface (ULI) for Easier Credit Access
Reserve Bank of India has created the Unified Lending Interface (ULI) to change the lending process by making credit easier to get for MSMEs. ULI cuts down documentation and simplifies loan applications, helping lenders make faster and better decisions. This digital interface removes the need for complex connections with individual data providers, reducing approval times and costs, thus giving MSMEs smooth credit access.
These wide-ranging steps show the government’s commitment to helping MSMEs by improving credit availability, supporting entrepreneurship, and using technology for better financial services. If you own an MSME or want to start one, checking out these schemes and digital platforms can give you great benefits to grow your business.
| Scheme/Platform | Key Features | Important Dates | Official Website |
|---|---|---|---|
| Credit Guarantee Scheme (CGS) | Rs. 9,000 crore added fund, guarantee limit raised to Rs. 10 crore, 90% coverage | Effective from 01.04.2025 | msme.gov.in |
| Prime Minister’s Employment Generation Programme | Margin Money subsidy up to 35% for new micro enterprises | Ongoing | msme.gov.in |
| PM Vishwakarma Scheme | Loans up to Rs. 3 lakh with 8% interest support for artisans | Launched 17.09.2023 | msme.gov.in |
| Self Reliant India Fund (SRI Fund) | Equity funding of Rs. 50,000 crore to grow MSMEs | Ongoing | msme.gov.in |
| SAMADHAAN Portal & ODR | Tracking and digital resolution of delayed payments | SAMADHAAN: 30.10.2017, ODR: 27.06.2025 | samadhaan.msme.gov.in |
| Trade Receivables Discounting System (TReDS) | Electronic financing of trade receivables from corporates and government buyers | Turnover limit lowered to Rs. 250 crore from 07.11.2024 | rbi.org.in |
| Unified Lending Interface (ULI) | Simplified loan application and faster approvals for MSMEs | Launched recently by RBI | rbi.org.in |
For more details and to apply for these schemes, visit the official Ministry of MSME website at msme.gov.in or the Reserve Bank of India website at rbi.org.in.
This information was shared by the Minister of State for Micro, Small and Medium Enterprises, Sushri Shobha Karandlaje, in a written reply in Rajya Sabha on 8th August 2025.