Press Release

ECLGS extension to help further improve business sentiment: ASSOCHAM

New Delhi, 1st April 2022: Extension of the Emergency Credit Line Guarantee Scheme (ECLGS) to include new borrowers,individuals and proprietary concerns would help MSMEs recover from the impact of Covid 19 pandemic, ASSOCHAM has said. 
 
'' We remained constantly engaged with the government taking up issues and challenges which had confronted the MSMEs during different bouts of Covid 19 and subsequent lockdowns. The informal sector, which is mostly engaged in contact services in trading, hospitality, transportation and contract manufacturing , had suffered the most. It goes to the credit of the government to have adopted a nimble approach and devised an effective scheme like ECLGS, '' ASSOCHAM Secretary General Mr Deepak Sood said. 
 
He said a notable feature of the ECLGS has been  its flexibility and 'expand-as-you-go' approach. '' It has proved to be a lifeline for the small businesses and would further strengthen their ability to make up the lost ground and even exceed the pre-Covid levels of their activities '' Mr Sood said.  
 
He said, ASSOCHAM had organised several meetings and consultative sessions with the RBI, major banks and the government along with industry representatives from different sectors for a right kind of feedback to enable formulation of an effective scheme. 
 
He said with complete lifting of restrictions in more and more states including  Maharashtra, the Indian industry and trade would bounce back quickly. ''There is an overall improvement in sentiment,'' Mr Sood added.