New Delhi, Aug. 13 -- India is considering introducing credit guarantees to help small businesses and exporters cope with the anticipated impact of the recently announced 50 per cent US tariffs on 55 per cent of the country's merchandise exports.

Industry sources told CNBC-TV18 that the government may allocate around Rs 4,000 crore for the initiative, offering 10-15 per cent credit guarantees to banks for loans to exporters with an annual turnover below Rs 500 crore and loans overdue for up to 90 days.

The Commerce Ministry informed Parliament that discussions are underway with the United States for a Bilateral Trade Agreement (BTA) aimed at enhancing trade and investment by ensuring tariff stability and long-term predictability.

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