Login With Google
Credit guarantee extended to larger firms
Why is it in news?
- The Centre has expanded its credit guarantee scheme to cover loans given to larger firms as well as to self-employed people and professionals who have taken loans for business purposes.
- The scheme is for micro, small and medium enterprises (MSMEs).
Details:
- The Emergency Credit Line Guarantee Scheme was rolled out in May 2020, as part of the Centre’s Aatmanirbhar package.
- It has a corpus of ₹41,600 crore and provides fully guaranteed additional funding of up to ₹3 lakh crore.
- Eligible MSMEs had to have an annual turnover up to ₹100 crore, with outstanding loans of up to ₹25 crore as on February 29, 2020.