Finance Ministry Allots INR 75 Thousand Crore For MSMEs Under ECLGS

-Megavarshini

With COVID 19 pandemic impacting the world  across all sectors,business owners from all walks  of the society are facing their most difficult times. In short, the Micro, Small and Medium enterprises (MSME) sector can be called the most suffered segment in this lockdown.

The central government has announced the relief funds so as to give a hand to the MSME in the era of this pandemic. The Financial ministry reports say that so far 75 Thousand crore rupees has  been allotted as a loan under the Government’s Credit Line Emergency Scheme (ECLGS). Further the Finance ministry has informed that a total sum of around Rs. 32,Thousand Eight Ninty Five crores has also been disbursed since June 1 with a hundred percent guarantee.

The government has asked for an additional loan of 3  lakh crore rupees through Emergency Credit Line Guarantee Scheme (ECLGS) with a concessional rate of 9.25 percent so as to extend its help towards the Micro, Small and Medium enterprises (MSME).

The Union Finance Minister Nirmala Sitharaman announced a twenty lakh crore rupees self–sufficient package in India in order to support the economy that has dropped during this pandemic. The MSME relief fund comes under this self-sufficient package offered through the Emergency Credit Line Guarantee Scheme. According to various media reports, the MSMEs across the country had started receiving funds to compensate their loss during the lockdown.