Because the nation confronted a extreme scarcity of medical oxygen amid the second wave of Covid-19, the Centre has determined to supply 100 per cent assure on loans as much as Rs 2 crore to hospitals, nursing houses, clinics and medical faculties for establishing on-site oxygen era crops. The rate of interest for such loans has been capped at 7.5 per cent.
A Finance Ministry assertion additional mentioned that debtors who’re eligible for restructuring as per RBI tips of Might 5, 2021, and had availed loans beneath ECLGS 1.zero of total tenure of 4 years comprising of reimbursement of curiosity solely through the first 12 months with reimbursement of principal and curiosity in 36 months thereafter will now have the ability to avail a tenure of 5 years for his or her ECLGS mortgage.
The federal government has additionally introduced extra ECLGS help of as much as 10 per cent of the excellent as of February 29, 2020, to debtors lined beneath ECLGS 1.zero, in tandem with restructuring as per RBI tips of Might 05, 2021
The Finance Ministry has additionally determined that the present ceiling of Rs 500 crore of mortgage excellent for eligibility beneath ECLGS three.zero will probably be eliminated, topic to most extra ECLGS help to every borrower being restricted to 40 per cent or Rs 200 crore, whichever is decrease.
The civil aviation sector will probably be eligible beneath ECLGS three.zero. The validity of ECLGS has been prolonged to September 30, 2021, or until ensures for an quantity of Rs three lakh crore are issued.
The Centre has permitted disbursement beneath the scheme permitted as much as December 31, 2021.
The modifications in ECLGS would improve the utility and influence of ECLGS by offering extra assist to MSMEs, safeguarding livelihoods and serving to within the seamless resumption of enterprise exercise.
These modifications will additional facilitate the stream of institutional credit score at affordable phrases, the ministry mentioned.