Private banks not implementing Rs 3 trn loan MSME scheme: RSS body to FM

Private banks are dilly-dallying in implementing the Rs 3-trillion credit scheme for the MSME sector, RSS-affiliated industry body Laghu Udyog Bharti (LUB) informed Union Finance Minister Nirmala Sitharaman on Monday.

Sitharaman had called Laghu Udyog Bharti general secretary Govind Lele to seek feedback on the implementation of Rs 3-trillion Emergency Credit Line Guarantee Scheme (ECLGS) for the MSME sector, which has been hit hard by the coronavirus-induced lockdown.

Lele said he informed the minister that prominent public sector banks like State Bank of India and Bank of India have started extending loans as per the scheme, news agency PTI reported.