Cabinet approves Credit Guarantee Scheme for Exporters with up to ₹20,000 crore credit
The Union Cabinet approved the Credit Guarantee Scheme for Exporters (CGSE) on 12 November 2025, under which the National Credit Guarantee Trustee Company (NCGTC) will give 100% guarantee cover to lenders extending up to ₹20,000 crore of additional collateral-free credit to eligible exporters, including MSMEs.
Summary
The Credit Guarantee Scheme for Exporters will be implemented by the Department of Financial Services through NCGTC, with a management committee chaired by the DFS Secretary overseeing it; both MSME and non-MSME exporters can benefit. The Cabinet said the scheme will improve liquidity and help exporters diversify into new markets, supporting the US$ 1 trillion export target. The release noted that exports were nearly 21% of GDP in FY 2024â25, export industries employ over 45 million people, and MSMEs account for nearly 45% of exports.
Key facts
- Scheme
- Credit Guarantee Scheme for Exporters (CGSE)
- Credit support
- Up to ₹20,000 cr, collateral-free
- Guarantee
- 100% by NCGTC
- Implemented by
- Department of Financial Services
- Exports share of GDP
- ~21% (FY 2024â25)
- MSME share of exports
- ~45%
Practice MCQs 2 questions
Which entity will provide 100% credit guarantee cover under the Credit Guarantee Scheme for Exporters approved in November 2025?
Show answer
Correct answer: D â National Credit Guarantee Trustee Company Limited
NCGTC will give 100% guarantee cover to Member Lending Institutions for the additional credit to exporters.
Up to how much additional collateral-free credit to exporters is envisaged under the Credit Guarantee Scheme for Exporters?
Show answer
Correct answer: B â ₹20,000 crore
The CGSE envisages up to ₹20,000 crore of additional credit to eligible exporters, including MSMEs.