iifl-logo

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

sidebar image

FM promises increased assistance for entrepreneurs and MSMEs

1 Feb 2025 , 11:57 AM

During the presentation of the Budget 2025 on Saturday, Finance Minister Nirmala Sitharaman declared that the credit guarantee coverage for micro and small businesses would be greatly increased. An extra Rs 1.5 lakh crore in credit would be made available to MSMEs over the next five years when the guarantee limit is raised from Rs 5 crore to Rs 10 crore.

“The credit guarantee cover will be greatly improved to improve access to credit,” Sitharaman stated. The guarantee limit for micro and small businesses will grow from Rs 5 crore to Rs 10 crore, allowing for an extra Rs 1.5 lakh crore in credit over the following five years.

The Finance Minister also stated that the Center will prioritize technology advancements and improved access to funding in order to foster the expansion of these MSMEs and assist them in attaining greater efficiency.

MSMEs will have their investment and turnover limitations raised, enabling a 2.5x and 2x expansion in these levels, respectively. This action will boost confidence, allowing MSMEs to expand and give young people additional employment opportunities.

Additionally, a unique program would be introduced to assist five lakh women and first-time business owners from Scheduled Castes (SC) and Scheduled Tribes (ST). Using the knowledge gained from the successful Stand-Up India program, this program will provide term loans up to Rs 2 crore over the following five years. Programs for online capacity building will also be planned to improve managerial and entrepreneurial abilities.

For feedback and suggestions, write to us at editorial@iifl.com

Related Tags

  • Budget 2025
  • entrepreneurs
  • MSME
sidebar mobile

BLOGS AND PERSONAL FINANCE

Read More
Knowledge Center
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Capital Services Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Loading...

Follow us on

facebooktwitterrssyoutubeinstagramlinkedintelegram

2025, IIFL Capital Services Ltd. All Rights Reserved

ATTENTION INVESTORS

RISK DISCLOSURE ON DERIVATIVES

Copyright © IIFL Capital Services Limited (Formerly known as IIFL Securities Ltd). All rights Reserved.

IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)

ISO certification icon
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.