Banks sanction loans worth Rs 1 lakh crore to MSMEs under the 100% Emergency Credit Line Guarantee Scheme
The Finance Ministry on Thursday said banks have sanctioned over Rs 1 lakh crore concessional loans to Kisan Credit Card (KCC) holders to help farmers meet financial requirements during the COVID-19 crisis.
As on August 17, 1.22 crore KCCs have been sanctioned with the credit limit of Rs 1,02,065 crore, and this will go a long way in reviving the rural economy and accelerating agricultural growth, the ministry said in a statement.
In an effort to buffer the agricultural sector from the shock of COVID-19, it said, a special saturation drive is underway to provide concessional credit to farmers through Kisan Credit Card.
As part of the Rs 20.97 lakh crore Aatma Nirbhar Bharat Package, the government in May had announced the provision of concessional credit of Rs 2 lakh crore which is likely to benefit Rs 2.5 crore farmers, including fishermen and dairy farmers.
Under the 100% Emergency Credit Line Guarantee Scheme (ECLGS) backed by a Government of India guarantee, Banks from Public & Private Sectors have sanctioned loans worth over Rs. 1.5 lakh crore as of 18th August, 2020, of which more than Rs 1 lakh crore has already been disbursed. The ECLGS was announced by the Government as a part of Aatma Nirbhar Bharat Package, to mitigate the distress caused by lockdown due to COVID-19 by providing credit to different sectors, especially MSMEs.
The details of total loans sanctioned and disbursed by Public & Private Sector Banks are:
Under the ECLGS, Public Sector Banks (PSBs) have sanctioned loans of Rs 76,044.44 crore, out of which Rs 56,483.41 crore has already been disbursed. Whereas Private Sector Banks have sanctioned loans of Rs 74,715.02 crore out of which Rs 45,762.36 crore has already been disbursed. The top lenders under the Scheme are State Bank of India (SBI), Canara Bank, Punjab National Bank (PNB), Bank of India, Union Bank of India and HDFC Bank Ltd.
Details of Loans sanctioned & disbursed by 12 PSBs are as follows:
State wise details of loans sanctioned and disbursed under ECLGS by PSBs are as follows: