Rs 10,370 cr loan disbursed to 2.1 lakh MSMEs in Punjab under ECLGS

Chandigarh, Mar 29 (KNN) Until 18th March, 2022 loans worth over Rs 10,370 crore have been disbursed to 2.16 lakh MSMEs in Punjab under the Emergency Credit Line Guarantee Scheme (ECLGS).

The Credit Guarantee Scheme of Subordinate Debt (CGSSD) was availed by about 81 guarantees amounting to over Rs 8.26 crore in the state, informed MoS MSME Bhanu Pratap Singh Verma in Lok Sabha. 

Since the launch of ECLGS scheme in May 2020, there were a total of 2,18,294 bank accounts of MSMEs in Punjab eligible for the scheme and there was lack of response. 

He highlighted on the announcement of extension of ECLGS up to March 2023 and it’s increase in  guarantee coverage to Rs 5 lakh crore.

Further he informed the house about the ‘Self Reliant India Fund’ launched by the central government to channelise funds to MSMEs as growth capital in the form of equity or quasi-equity for growth of MSMEs.

Explaining the steps taken by RBI to mitigate the challenges faced by MSMEs due to delayed payment, he said “RBI has issued guidelines for setting up and operating the Trade Receivables Discounting System (TReDS), and now there is a differential rate of interest in place for MSEs.” (KNN Bureau)