Increase in MSME Financing To Boost Biogas Industry: IBA

New Delhi: Indian Biogas Association (IBA) on Sunday said the proposed increase in MSME financing in the General Budget 2025 is a right step to boost biogas industry.

With a strong push for manufacturing, green energy, and digital transformation, this Budget sets the stage for Aatmanirbhar and Viksit Bharat, an IBA statement said. From the standpoint of the fledgling biogas/CBG (compressed biogas) industry, the announced increase to the MSME Credit Guarantee Scheme will significantly benefit the biogas industry, which often faces challenge in securing credit with reasonable terms, it noted.

By expanding the credit guarantee cover from Rs5-10 crore, the scheme ensures easier access to collateral-free loans, thus reducing financial barriers for the CBG developers, it pointed out.