 "bad banks, loans, IBC")
One in every six loans disbursed under the Emergency Credit Line Guarantee Scheme (ECLG Scheme) launched during the Covid-19 pandemic has turned bad in the last 27 months. The majority of these loans are lower than Rs 20 lakh, a report by Indian Express (IE) stated.
The National Credit Guarantee Trustee Company Ltd (NCGTC) declared that 1.6 million accounts or 16.4 per cent of the total 9.8 million loans disbursed have turned into non-performing assets (NPAs), the report stated. NCGTC was set up to manage these loans.
In May 2020, the government announced the ECLG scheme. A two-year moratorium was
