The Cabinet Committee on Economic Affairs (CCEA) has approved a three-year extension of the Credit Linked Capital Subsidy and Technology Up-gradation Scheme (CLCS-TUS) for Micro, Small and Medium Enterprises (MSME)

• This scheme aims at improving the competitiveness of MSMEs by integrating various ongoing schematic interventions aimed at up-grading technology through Credit Linked Capital Subsidy (CLCS), hand holding for zero defect zero effect manufacturing (ZED), increasing productivity through waste reduction (Lean), design intervention (Design), cloud computing (Digital MSMEs), facilitation of intellectual property (IPR) and nurturing new ideas (Incubation).
• Special provisions have been made in this scheme to promote entrepreneurship for SC/STs, women NER, Hill States (Jammu & Kashmir, Himachal Pradesh & Uttarakhand) Island Territories (Andaman & Nicobar and Lakshadweep) and the Aspirational Districts/ LWE Districts.

In addition, the scheme through Zero Defect & Zero Effect, component will promote reduction in emission level of green house gases and improve the competitiveness through reduction in defect / wastage during the manufacturing process of the products. It will also promote the innovation, digital empowerment of MSMEs, design interventions and support the protection of intellectual property of MSMEs.