Question

Which of the following is one of important objective behind the Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGTMS

Q: Answer-Which of the following is one of important objective behind the Credit Guarantee Fund Scheme for Mic...

The Credit Guarantee Fund Scheme CGTMSE was established to provide guarantees to financial institutions that extend credit to MSMEs. This enables MSMEs to access loans without needing to provide collateral, which is often a barrier for small businesses. The primary goal of the CGTMSE is to enhance credit flow to the MSME sector by minimizing the risks faced by lenders, which in turn boosts working capital availability for MSMEs.

A To guarantee loans provided to MSMEs by financial institutions to ensure that MSMEs can meet their working capital needs.

B To provide direct financial assistance to MSMEs for capital expenditure and innovation in product development.

C To guarantee loans for MSMEs involved in manufacturing, specifically for upgrading their technology and infrastructure.

D To encourage MSMEs to create more employment opportunities by offering subsidies on wage payments for their employees.

E To ensure that MSMEs are exempt from paying taxes for the first five years of operation.

Practice Next

More Financial Management Questions

In a perfectly competitive market, which of the following conditions must hold for the market to be in equilibrium?
The Asset-Liability Management committee (ALCO) deal with different types of ______
Why is it important to practice transitioning between sections in a presentation?
Under the MSME Sustainable (ZED) Certification Scheme, what is the focus of the "Silver Level"?
An oil refining industry will undertake costing by the _______ method?
What is the full form of TReDS?
All of the following are Prime cost except _____
What recent amendment has the government made to the foreign direct investment (FDI) policy in the space sector?
Which United Nations resolution proclaimed June 27 as Micro, Small and Medium-sized Enterprises Day?
MNO Ltd got its bond rated by a credit rating agency. The rating given to the bond was lsquo;AA-lsquo;. What does this rating indicate?

Hey! Ask a query

Which of the following is one of important objective behind the Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGTMS

Detailed Solution

More Financial Management Questions

Hey! Ask a query

Please Register/Login