PSBs disburse Rs 8,320 cr loan to MSMEs under emergency credit scheme

On May 21, the Cabinet had approved additional funding of up to Rs 3 trillion at a concessional rate of 9.25 per cent through ECLGS for the MSME sector

The Finance Ministry on Sunday said public sector banks have disbursed Rs 8,320 crore till June 5 under the Rs 3-trillion Emergency Credit Line Guarantee Scheme (ECLGS) for the MSME sector, hit hard by the coronavirus-induced lockdown.

PSBs have sanctioned loans worth Rs 17,705.64 crore under the 100 per cent ECLGS starting June 1.

The scheme is the biggest fiscal component of the Rs 20-trillion Self-Reliant India Mission package announced by Finance Minister Nirmala Sitharaman last month.

"As of 5 June 2020, #PSBs have sanctioned loans worth Rs 17,705.64 crore under the 100 per cent Emergency Credit Line Guarantee Scheme,