Question : CREDIT GUARANTEE FUND SCHEME



(a) the number of entrepreneurs provided credit under this scheme by various banks;

(b) whether Credit Guarantee Scheme to provide credit to the enterprises interested in setting up small and medium industries have failed to meet its target;

(c) if so, the target fixed by the Government in this regard alongwith the result of these targets for last three years;

(d) whether the entrepreneurs face difficulty in obtaining loan from the bank under this scheme; and

(e) if so, steps initiated to investigate the grievances of entrepreneurs and to make this scheme friendly for them?

Answer given by the minister

MINISTER OF SMALL SCALE INDUSTRIES & AGRO AND RURAL INDUSTRIES (SHRI MAHABIR PRASAD)

(a): The cumulative number of proposals approved for guarantee cover under the Credit Guarantee Scheme up to 30 June 2005 is 30,252.

(b)&(c): The Government has fixed quarterly targets under the Scheme for the first time in financial year 2005-06. Against the target of covering 2000 proposals for an aggregate credit of Rs.80 crore in the first quarter of 2005-06 (i.e., April-June 2005), the actual performance was coverage of 2386 proposals for an aggregate credit of Rs.80.47 crore.