Government seeks 2.5L/cr credit-guarantee for MSMEs amid West Asia conflict
Business
The government is in talks over a proposed ₹2.5 lakh crore credit guarantee scheme to help small businesses struggling with the fallout from the West Asia conflict.
Inspired by the COVID-era ECLGS, this plan aims to cushion MSMEs facing higher costs and supply issues, especially with fuel imports disrupted.
MSME ministry pursues ECLGS-like credit guarantee
The MSME ministry is in talks with the Department of Financial Services on an ECLGS-like credit guarantee mechanism.
The MSME ministry has already stepped in with over ₹93,000 crore in credit support and increased supplies of essentials like iron, steel, and coal, showing they're serious about keeping these businesses afloat during tough times.