Of this, about 27 lakh MSME units received cumulative disbursement of ₹1,36,140 crore till October 5
The Finance Ministry on Thursday said banks have sanctioned loans of about ₹1,87,579 crore to 50.7 lakh business units under the ₹3-lakh crore Emergency Credit Line Guarantee Scheme (ECLGS) for the MSME sector impacted by slowdown caused by the coronavirus pandemic. Of this, about 27 lakh MSME units received cumulative disbursement of ₹1,36,140 crore till October 5.The scheme is the biggest fiscal component of the ₹20-lakh crore Aatmanirbhar Bharat Abhiyan package announced by Finance Minister Nirmala Sitharaman in May to mitigate the distress caused by lockdown due to COVID-19 by providing credit to different sectors, especially micro, small and medium enterprises (MSMEs). The latest numbers on ECLGS, as released by the finance ministry, comprise disbursements by all 12 public sector banks (PSBs), 24 private sector banks and 31 non-banking financial companies (NBFCs).“As of 5 Oct 2020, the total amount sanctioned under the 100% Emergency Credit Line Guarantee Scheme by #PSBs, private banks & NBFCs to #MSMEs & individuals stands at ₹1,87,579 crore, of which ₹1,36,140 crore has already been disbursed,” the Finance Minister said in a tweet. The loan amounts sanctioned by PSBs increased to ₹81,648.82 crore, of which ₹68,814.43 crore has been disbursed as of October 5, she said. At the same time, private sector banks have sanctioned ₹86,576 crore of loans and disbursed ₹59,740 crore, while NBFCs sanctioned ₹3,032 crore with disbursement of ₹2,227 crore.“The ambit of the Scheme was expanded to include MSMEs with turnover of up to ₹250 crore & individuals for business purposes. As of 05 Oct 2020, ₹17,460 crore of loans to individuals have been sanctioned, of which ₹5,939 crore has been disbursed,” she said. In another tweet, she said as many as 33 stranded housing projects with investment of ₹4,197 crore were accorded final approval under the SWAMIH scheme.“Special window for Affordable & Mid Income Housing Fund (SWAMIH) is working at a fast pace to provide relief to homeowners. As on 05.10.2020, 33 projects with investment of ₹4,197 crore accorded final approval & will lead to completion of 25,048 home units,” the Finance Minister said in tweet. Overall, 123 projects have now been sanctioned, including final approval to 33 projects, with an investment of ₹12,079 crore that would target to provide relief to 81,308 homeowners, she said. On May 20, the Cabinet approved additional funding of up to ₹3 lakh crore at a concessional rate of 9.25% through ECLGS for MSME sector. Under the scheme, 100% guarantee coverage will be provided by the National Credit Guarantee Trustee Company (NCGTC) for additional funding of up to ₹3 lakh crore to eligible MSMEs and interested Micro Units Development and Refinance Agency (MUDRA) borrowers in the form of a guaranteed emergency credit line (GECL) facility. For this purpose, a corpus of ₹41,600 crore was set up by the government, spread over the current and next three financial years. The scheme will 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 the amount of ₹3 lakh crore is sanctioned under GECL, whichever is earlier.