BankCentral Verified 2025-11-09
Credit Guarantee Scheme for Subordinate Debt (CGSSD)
Guarantee cover for restructuring/equity infusion support for stressed MSMEs who are Non-Performing Assets (NPAs) but are otherwise viable. Guarantee of 90% of the credit facility.
Maximum benefit value
₹75 L
Eligibility
- MSMEs classified as SMA-2 and NPA as on 30.04.2021 (or as updated)
- Promoter must infuse 10% of the subordinate debt as equity
- Udyam Registered
How to apply
Applied by the lending institution (Bank/NBFC) on behalf of the MSME under the CGTMSE framework.
Required documents
- Classification of MSME as NPA/Stressed Asset
- Promoter's declaration of equity infusion
Official sources
Verification notes
Aimed at saving viable jobs in stressed units. Subordinate debt is near-equity funding.