Cabinet approves Rs 3 lakh cr emergency credit line for MSME

May 20, 2020 16:24

The Union Cabinet on Wednesday approved additional funding of up to Rs 3 lakh crore at a concessional rate of 9.25 per cent through the Emergency Credit Line Guarantee Scheme (ECLGS) for the MSME sector hit hard by the coronavirus crisis.

The ECLGS was the second-biggest component of Rs 21 lakh crore comprehensive package announced by Finance Minister Nirmala Sitharaman last week. Under the scheme, 100 per cent guarantee coverage will be provided by National Credit Guarantee Trustee Company for additional funding of up to Rs 3 lakh crore to eligible MSMEs and interested MUDRA borrowers, in the form of a guaranteed emergency credit line facility, an official statement said.

For this purpose, a corpus of Rs 41,600 crore shall be provided by the Government of India spread over the current and the next three financial years, it said. The Cabinet headed by Prime Minister Narendra Modi also approved that the scheme would be applicable to all loans sanctioned under GECL Facility during the period from the date of announcement of the scheme to October 31 or till an amount of Rs 3 lakh crore crore is sanctioned under the GECL, whichever is earlier. -- PTI

« Back to LIVE

TOP STORIES

Archery WC: India shock Olympic champs Korea for recurve gold

India secured one of their biggest triumphs in archery as the men's recurve team of Dhiraj Bommadevara, Tarundeep Rai and Pravin Jadhav stunned reigning Olympic champions South Korea to win the gold medal at the ongoing World Cup Stage 1...

Fraser-McGurk's Taking IPL 2024 By Storm!

Jake Fraser-McGurk took the Mumbai Indians bowlers to the cleaners in a savage display of power-hitting.

Uber Cup: India trounce Singapore for second win

Isharani Baruah and Anmol Kharb shone bright as India all but assured its place in the quarter-finals of Uber Cup after beating Singapore 4-1 in the second tie of Group A, in Chengdu, China, on Sunday.

Both phases see less voter turnout than 2019 LS poll

Heat wave is believed to have contributed to several voters not turning up at polling stations in both the phases.

Actor Sahil Khan detained by Mumbai SIT in Mahadev betting app case

The size of the scam is about Rs 15,000 crore, as per the first information report (FIR) registered by the police in the case.