RAS question
Which trust implements collateral support under NIRYAT PROTSAHAN?
Correct answer: (B) CGTMSE.
The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) implements collateral support under NIRYAT PROTSAHAN.
Explanation
The Department of Commerce and DGFT trade notice launching Collateral Support for Export Credit under EPM - NIRYAT PROTSAHAN says the intervention is operationalised through CGTMSE on a pilot basis. Its guidelines then identify CGTMSE as the implementing agency on behalf of the Department of Commerce, with the Department placing the corpus with CGTMSE and fiscal management, monitoring, claim consolidation and fund disbursement handled in coordination with CGTMSE. That matches the MCQ explanation: CGTMSE is the Credit Guarantee Fund Trust for Micro and Small Enterprises. The point is not merely that CGTMSE is connected to guarantees; the official guidelines assign it the implementation role for this collateral-support component.
Why the other options are wrong
- (A) NABARD Trust is not assigned the implementation role in the cited guidelines; CGTMSE is named as the implementing agency on behalf of the Department of Commerce.
- (C) SIDBI Trust is not the trust named in the MCQ explanation or the cited guidelines for this collateral-support component; the named agency is CGTMSE.
- (D) The PDF mentions RBI only in relation to Master Directions on pre- and post-shipment export credit, not as the implementing fund for NIRYAT PROTSAHAN collateral support.
Concept
This tests the Indian Economy theme of matching government schemes with their implementing institutions. RAS uses such questions because the exam often turns on the exact agency named in an official scheme guideline.