The government has extended the validity of the Credit Guarantee Scheme for Microfinance Institutions-2.0 (CGSMFI-2.0) until August 31, 2026, or until guarantees worth Rs 20,000 crore are issued, whichever comes first. 

It has also approved an increase in the maximum loan limit for large sized NBFC-MFIs and MFIs from Rs 300 crore to Rs 1,000 crore under the overall ceiling of 20% of assets under management, according to an official release.

The scheme aims to strengthen credit flow to the microfinance sector by providing guarantee cover through the National Credit Guarantee Trustee Co. against expected losses on lending by banks and financial institutions to NBFC-MFIs for onward lending to small borrowers.

As of now, loans totalling Rs 770 crore have been sanctioned under the scheme, reflecting early traction since its launch on March 20, 2026.

ALSO READ: India Counters US Section 301 Probe, Rejects Charge Of Forced Labour In Steel, Textile Sectors 

The extension and enhancement in loan limits are expected to improve utilisation of the scheme and support higher credit flow to the NBFC-MFI ecosystem, thereby expanding access to affordable credit for small borrowers across the country.

The government has also retained key risk sharing provisions under the scheme, including guarantee coverage of 80 percent of default amount for small MFIs, 75 percent for medium entities and 70 percent for large NBFC-MFIs, along with a guarantee fee of 0.50 percent per annum on sanctioned amounts in the first year and on outstanding thereafter.

Interest rates under the scheme remain capped at EBLR or MCLR plus 2 percent per annum, while on-lending norms ensure lower borrowing costs for end microfinance customers.

ALSO READ: India Infrastructure Lender Seeks Dollar Loan After RBI Move

Essential Business Intelligence,
Continuous LIVE TV,
Sharp Market Insights,
Practical Personal Finance Advice and
Latest Stories — On NDTV Profit.

Elon Musk’s SpaceX has attracted over $250 billion in investor demand for its initial public offering (IPO), far above the $75 billion the company is aiming to raise, Reuters reported on Wednesday, citing sources privy to the development.

The IPO, seen as the world’s biggest-ever, has recorded subscription of four times the original ask. According to reports, wealth funds based in Saudi Arabia and Kuwait have placed orders ranging from $1 billion to $5 billion each.

According to Reuters, SpaceX is still in the middle of its marketing campaign. SpaceX President Gwynne Shotwell and finance head Bret Johnsen were scheduled to attend a lunch meeting with roughly 300 institutional investors on Tuesday at Morgan Stanley in downtown Manhattan, which was hosted by Morgan Stanley Co-President Dan Simkowitz, Reuters reported.

Rather than final allocations, which will be determined at pricing, subscription levels show indications of interest.

ALSO READ: Starlink’s India Launch Hits Security Roadblock Before SpaceX IPO

In its roadshow presentation and IPO documents, SpaceX highlights the strength of its Starlink internet business as well as the distinctive character of its rocket-launching business, which it claims has been responsible for the majority of mass launched into orbit over the last three years.

Additionally, SpaceX highlighted a $23 trillion market potential, which the company linked to its artificial intelligence capabilities.

ALSO READ: ChatGPT A ‘Superapp’? OpenAI May Integrate Agents, Coding, Imaging, Third-Party Services Into Single Platform

Essential Business Intelligence,
Continuous LIVE TV,
Sharp Market Insights,
Practical Personal Finance Advice and
Latest Stories — On NDTV Profit.

India’s total outward foreign direct investment commitments declined 49.02 per cent month-on-month to USD 4.49 billion in May 2026 from USD 8.84 billion, mainly due to lower equity investments, loans, and guarantees issued by Indian companies, according to RBI data.

However, total financial commitments by Indian entities under overseas investment increased 34.6 per cent year-on-year in May 2026 from USD 3.34 billion, data showed.

Equity investments abroad dropped sharply to USD 1,247.82 million in May from USD 3,537.35 million in April, marking a decline of about 64.72 per cent.

Overseas loans extended by Indian companies also declined to USD 632.12 million in May from USD 1,299.69 million in April.

Guarantees issued, which formed the largest component of overseas commitments, fell to USD 2,608.83 million in May from USD 3,999.79 million in April, declining around 35 per cent. However, it increased from USD 1,122.37 million in May 2025.

In the equity investment segment, Indovida India invested USD 673.2074 million abroad, Tata International of USD 130 million, Arvind Advanced Materials of USD 58 million, and ONGC Videsh Rovuma of USD 31.09 million, RBI data showed.

ALSO READ | RBI Permits Banks To Lend Only To SEBI-Registered REITs; 80% Cash Positive Assets Must

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

Essential Business Intelligence,
Continuous LIVE TV,
Sharp Market Insights,
Practical Personal Finance Advice and
Latest Stories — On NDTV Profit.