Share

Centre mulls proposal to guarantee $39 bn small-business loans

Small firms will be eligible to borrow an additional 20% of their credit limit

Share
Central government, Loans to small businesses, Restart economy, Struggle under the lockdown, Halted manufacturing

The Central government is considering a proposal to guarantee as much as Rs three trillion ($39 billion) loans to small businesses as part of a plan to restart economy.

Under the proposal, small firms will be eligible to borrow an additional 20% of their credit limit.

The government will set up a special fund to pay for any defaults. India’s government and regulators are slowly coming out with programmes as everyone, from companies to fund managers, struggle under the lockdown, which has halted manufacturing and wiped out consumption.

Newsletter

Most Popular

Digital Edition

October 2020
From the magazine

Subscribe Now