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Impact of credit guarantees on entrepreneurship

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  • Rajeev Roy

Abstract

The paper explores the performance of the loan guarantee scheme in India. For entrepreneurs without access to own collateral, a loan guarantee scheme allows access to bank loans with the state acting as a guarantor. Such schemes have been successfully implemented in most of the developed nations like UK, France, Canada and USA. The schemes are generally viewed as helpful for entrepreneurs. In India too, the Credit Guarantee Fund Trust for Small Industries (CGTSI) has been set up by the Government of India, with this objective in mind.

Suggested Citation

  • Rajeev Roy, 2011. "Impact of credit guarantees on entrepreneurship," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 12(1), pages 101-108.
    • Handle: RePEc:ids:ijesbu:v:12:y:2011:i:1:p:101-108
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