NEW DELHI, Nov 11: The Union Cabinet on Wednesday approved the extension of the Credit Guarantee Fund for Micro Units (CGFMU) for five years to March 2031.
As of September 2026, more than 60.36 crore loans amounting to Rs 43.34 lakh crore have been sanctioned by lending institutions since the launch of the PM Mudra Scheme.
The scheme provides credit guarantee coverage to the lending institutions through National Credit Guarantee Trustee Company Limited (NCGTC) against default risk.
At the briefing on Cabinet decisions, Information and Broadcasting Minister Ashwini Vaishnaw said the continuation of the Credit Guarantee Fund for Micro Units has been extended for five years.
The Cabinet, chaired by Prime Minister Narendra Modi, approved a corpus of Rs 5,000 crore facilitating Pradhan Mantri Mudra Yojana (PMMY) loans amounting to Rs 12.6 lakh crore, an official release said.
CGFMU, launched in January 2016, has acted as a major catalyst in enabling the growth of PMMY loans in the country, it added. (PTI)