Archive · 14 Nov 2025
Government Approves Rs 25,000 Crore Export Promotion and Credit Guarantee Schemes
The government is giving a big boost to Indian businesses that sell goods to other countries.
They have approved a plan with about Rs 25,000 crore to help these businesses become better at selling overseas.
This includes special help for small and medium-sized companies, and those selling products that require a lot of people to make.
Additionally, a separate plan will provide a safety net for banks that lend money to these exporters.
The government will put Rs 2,000 crore into a fund that guarantees these loans, making it easier for exporters to get up to Rs 20,000 crore in credit without needing as much collateral.
This is meant to make Indian products more competitive globally and help India reach its goal of exporting a trillion dollars' worth of goods.
Government approved Rs 25,060 crore Export Promotion Mission and a Credit Guarantee Scheme for Exporters.
The Export Promotion Mission aims to enhance export competitiveness, particularly for MSMEs and labor-intensive sectors.
A Rs 2,000 crore allocation will support the Credit Guarantee Scheme, enabling up to Rs 20,000 crore in credit for exporters.
GTRI noted that the Export Promotion Mission's annual funding may be limited and called for swift issuance of detailed guidelines.
The schemes aim to boost global competitiveness, support new markets, and contribute to India's USD 1 trillion export target.
- Who
- The Union Cabinet, Prime Minister Narendra Modi, Global Trade Research Initiative (GTRI), National Credit Guarantee Trustee Company Limited (NCGTC), Department of Financial Services (DFS), eligible exporters including MSMEs.
- What
- Approval and allocation of funds for an Export Promotion Mission (Rs 25,060 crore) and a Credit Guarantee Scheme for Exporters (Rs 2,000 crore allocation for up to Rs 20,000 crore credit facilities).
- When
- Wednesday (approval of schemes), Thursday (GTRI statement).
- Where
- New Delhi.
- Why
- To strengthen India’s export competitiveness, support MSMEs and first-time exporters, enhance global competitiveness, support diversification into new markets, enable collateral-free credit access, reinforce liquidity, and move towards achieving the USD 1 trillion export target and Aatmanirbhar Bharat.
Global Trade Research Initiative (GTRI)
Government Initiatives
Funding Adequacy
Global Trade Research Initiative (GTRI)
The total outlay of Rs 25,060 crore over six years amounts to less than Rs 4,200 crore annually, which may be insufficient given that the Interest Equalisation Scheme alone cost over Rs 3,500 crore last year.
Government Initiatives
The government has approved Rs 25,060 crore for the Export Promotion Mission and Rs 2,000 crore for the Credit Guarantee Scheme for Exporters, aiming to strengthen export competitiveness and provide additional credit facilities.
Program Implementation Timeline
Global Trade Research Initiative (GTRI)
Eight months of the fiscal year 2025-26 have already passed without payouts from older programs like MAI and IES, leaving exporters unsupported.
Government Initiatives
The new schemes, approved on Wednesday, are expected to be rolled out swiftly, with detailed guidelines and mechanisms for disbursal to be issued.
Scheme Specificity
Global Trade Research Initiative (GTRI)
The Export Promotion Mission is currently a broad framework that needs detailed schemes with precise guidelines on eligibility, processes, and disbursal rules.
Government Initiatives
The Credit Guarantee Scheme for Exporters (CGSE) provides 100% credit guarantee coverage by NCGTC to MLIs for extending additional credit facilities up to Rs 20,000 crore to eligible exporters, including MSMEs, aimed at enabling collateral-free credit access.
- Export Promotion Mission Allocation
- Rs 25,060 crore
- Credit Guarantee Scheme for Exporters Allocation
- Rs 2,000 crore
- Total Credit Facility under CGSE
- Up to Rs 20,000 crore
- Implementing Agency for CGSE
- National Credit Guarantee Trustee Company Limited (NCGTC) through Department of Financial Services (DFS)
- Target Beneficiaries
- MSMEs, first-time exporters, labour-intensive sectors, eligible exporters
- Timeframe for Export Promotion Mission
- Six years
