Rs 79,000 crore sanctioned by banks under Emergency Credit Line Guarantee Scheme

New Delhi: Public and Private Sectors Banks have so far sanctioned loans worth over Rs 79,000 crore under the Emergency Credit Line scheme as of June 20, 2020, the Finance Ministry said on Tuesday.

Of the aforesaid amount, more than Rs 35,000 crore has already been disbursed. This has helped 19 lakh MSMEs and other businesses restart their businesses post the lockdown, it added.

The top lenders under the Scheme are SBI, HDFC Bank, Bank of Baroda, PNB and Canara Bank.

As part of the Aatmanirbhar Bharat package, government had announced its plans for Rs 3 lakh crore as additional credit to MSMEs and small businesses. Such enterprises were to be eligible to receive upto 20 percent of their existing borrowing as additional loans at interest rates which were capped.

Separately, under RBI’s Special Liquidity Facility announced in March-April, 2020, SIDBI has sanctioned over Rs 10,220 crore to NBFCs, Micro Finance Institutions and Banks for lending to MSME and small borrowers. 

National Housing Bank (NHB) has sanctioned its entire facility of Rs 10,000 crore to Housing Finance Companies.  This refinance by SIDBI and NHB is in addition to ongoing schemes through which over Rs. 30,000 crore has been sanctioned. NBFCs and MFIs are being further helped under the Extended Partial Guarantee Scheme where approvals have crossed Rs 5500 crore.

Transactions for another Rs 5000 crore are under process of approval while certain other deals are currently under negotiation, the ministry said.