Govt widens ambit of Rs 3 trn MSME credit scheme, doubles upper loan limit

The maximum amount of guaranteed emergency credit line (GECL) funding under the scheme would also correspondingly increase from Rs 5 crore at present to Rs 10 crore

The government on Saturday widened the scope of the Rs 3-trillion MSME credit guarantee scheme by doubling the upper ceiling of loans outstanding to Rs 50 crore and including certain individual loans given to professionals like doctors, lawyers and chartered accountants for business purposes under its ambit.

The tweaking of the Emergency Credit Line Guarantee Scheme (ECLGS) was done based on demand from trade bodies and in line with new MSME definition approved by the Union Cabinet in June.

Briefing the media about the changes made, Finance Minister Nirmala Sitharaman said the scheme will now include individual loans given for