Question

Please provide the full form for CGTMSE, a scheme meant for Micro and Small Enterprises

• A. Credit Guarantee Trust for Micro and Small Enterprises
• B. Credit Guarantee Fund Trust for Micro and Small Enterprises
• C. Credit Guarantee Fund towards Micro and Small Enterprises
• D. Collateral Guarantee Trust for Micro and Small Enterprises

Answer 1

The Correct Option is B

The question asks for the full form of CGTMSE, a scheme focused on supporting Micro and Small Enterprises (MSEs) in India. The correct full form is needed from the provided options. Let's analyze each option:

1. Credit Guarantee Trust for Micro and Small Enterprises: This option does not include the word "Fund," which is crucial for the scheme's full form.
2. Credit Guarantee Fund Trust for Micro and Small Enterprises: This option correctly includes the word "Fund," making it a perfect match for the acronym CGTMSE. This is the correct answer.
3. Credit Guarantee Fund towards Micro and Small Enterprises: This form incorrectly uses "towards," which does not fit the formal title of the scheme.
4. Collateral Guarantee Trust for Micro and Small Enterprises: This option uses "Collateral" instead of "Credit Guarantee," which is incorrect for CGTMSE.

Conclusion: The full form of CGTMSE is Credit Guarantee Fund Trust for Micro and Small Enterprises. This scheme was established by the Government of India and SIDBI (Small Industries Development Bank of India) to provide credit without collateral for MSEs, thus promoting entrepreneurship and the growth of small businesses.

This scheme is vital as it boosts micro and small enterprises by providing them with the necessary financial support without the usual stringent requirements of collateral, thereby encouraging innovation and entrepreneurship in this sector.