Central Sector credit-guarantee scheme notified by the Department for Promotion of Industry and Internal Trade (DPIIT), with the National Credit Guarantee Trustee Company (NCGTC) as trustee/operating agency, to provide guarantee cover against loans extended by Member Institutions (Scheduled Commercial Banks, NBFCs and SEBI-registered Alternative Investment Funds) to DPIIT-recognised startups. Following the May 2025 expansion, the ceiling on guarantee cover was raised from ₹10 crore to ₹20 crore per borrower. The extent of guarantee cover is 85% of the amount in default for loans up to ₹10 crore and 75% of the amount in default for loans above ₹10 crore. The Annual Guarantee Fee for startups in 27 identified Champion Sectors has been reduced to 1% per annum (from 2%). Assistance is in the form of venture debt, working capital, subordinated/mezzanine debt, debentures and other fund/non-fund-based facilities that have crystallised as debt obligations.
85% subsidy, up to ₹20 Cr
CREDIT_GUARANTEE · quoted from the scheme, not calculated by us
No overview, state applicability, or FAQ content on file for this scheme yet.
Startups recognised by DPIIT as per Gazette Notification, that have reached a stage of stable revenue stream (assessed from audited monthly statements over a 12-month period) amenable to debt financing, not in default to any lending/investing institution and not classified as NPA, whose eligibility is certified by the Member Institution. Guarantee cover 85% of default up to ₹10 crore and 75% above, ceiling ₹20 crore per borrower.
Guarantee cover ceiling ₹20 crore per borrower (raised from ₹10 crore in May 2025). Cover of 85% of the amount in default up to ₹10 crore and 75% above ₹10 crore. Annual Guarantee Fee 1% p.a. for 27 Champion Sectors (else 2% p.a.). Cover may be transaction-based or umbrella-based; AIFs cannot avail transaction-based cover.
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