Banks sanctioned Rs 1.77 trn to MSMEs under ECLGS: Nirmala Sitharaman

 

Nirmala Sitharaman said that around Rs 1.77 trn credit has been sanctioned by PSBs and private banks to MSMEs and individuals reeling under the slowdown caused by the coronavirus pandemic.

Union Finance Minister Nirmala Sitharaman on Thursday said that around Rs 1.77 lakh crore credit has been sanctioned by Public Sector Banks (PSBs) and private banks to MSMEs and individuals reeling under the slowdown caused by the coronavirus pandemic.
However, disbursement against the sanctioned amount stood at Rs 1,25,425 crore to MSMEs till September 21.

"As of September 21, 2020, the total amount sanctioned under the 100 per cent Emergency Credit Line Guarantee Scheme (ECLGS) by PSBs and private banks to MSMEs and individuals stand at Rs 1,77,353 crore, of which Rs 1,25,425 crore has already been disbursed," Sitharaman's office tweeted.

The ambit of the scheme was expanded to include MSMEs with a turnover of up to Rs 250 crore and individuals for business purposes.

As of Sept 21, 2020, Rs 9,849.74 crore of loans to individuals have been sanctioned, of which Rs 2,617.08 crore has been disbursed, the Finance Ministry said.

Sitharaman's office further informed that that under the 100 per cent ECLGS, loan amounts sanctioned by PSBs has increased to Rs 79,347.73 crore.

"Under the 100 per cent ECLGS, the loan amounts sanctioned by Public Sector Banks increased to Rs 79,347.73 crore, of which Rs 65,051.89 crore has been disbursed as of September 21, 2020," the Finance Ministry informed.

"Compared to September 3, 2020, there is an increase of Rs 16,335.32 crore in the cumulative amount of loans sanctioned and an increase of Rs 11,711.85 crore in the cumulative amount of loans disbursed by both PSBs and private sector banks combined as on September 21, 2020," it added.