PSBs disburse half of the sanctioned credit guarantee scheme loans

State Bank of India contributed to 75% of the total loan disbursements of Rs 8,320 crore till June 5

Public sector banks in India have disbursed close to half of the sanctioned loans to micro, small, and medium enterprises under the emergency credit line guarantee scheme announced as a part of the Covid-19 economic package. 

State Bank of India contributed to 75 per cent of the total loan disbursements of Rs 8,320 crore till June 5. State-owned banks have sanctioned loans, which have 100 per cent sovereign guarantee on defaults, worth Rs 17,706 crore in total. 

The highest amount of loans sanctioned under the credit guarantee scheme came from Tamil Nadu followed by Uttar Pradesh, Gujarat, Maharashtra and Andhra Pradesh, the data released by the finance ministry on Sunday showed.