Union Cabinet Approves Rs 10,000 Crore SME Growth Fund

The Union Cabinet on Tuesday approved the Small and Medium Enterprise Growth Fund with an outlay of Rs 10,000 crore to provide growth-stage equity support.

First announced in the 2026-27 Union Budget, the fund aims to bridge a structural financing gap for small and medium enterprises seeking capital to scale and innovate.

The government will commit the funds through an Alternative Investment Fund, with a majority of investments directed toward manufacturing enterprises in industrial clusters.