Union Budget 2022: ECLGS Scheme Extended Till March 2023 For MSMEs, Guarantee Cover Expanded By Rs 50,000 Crore

Union Finance Minister Nirmala Sitharaman on Tuesday (1 February) presented the Union Budget 2022-23 in the Parliament.

In the budget speech, the Finance Minister announced that the Emergency Credit Line Guarantee Scheme (ECLGS) has been extended till March 2023.

Launched in the midst of the Covid-19 pandemic in 2020, the ECLGS has helped 13 million MSMEs through collateral-free credit loans since its launch.

The guarantee cover under the ECLGS gas now been expanded by Rs 50,000 crore and the total cover of the scheme now stands at Rs 500,000 crore.

Further, the government will be extending an additional amount particularly for the hospitality sector under the ECLGS initiative this time around, as per the announcement made in the Budget.