New Delhi, July 7: The Emergency Credit Line Guarantee Scheme 5.0 has crossed 4.11 lakh guarantees, with the guaranteed amount reaching ₹1,55,229 crore, the Ministry of Finance said on Tuesday.
The scheme was approved by the Union Cabinet on May 5, 2026, to provide liquidity support to businesses affected by the West Asia geopolitical situation.
According to the ministry, ECLGS 5.0 has been designed to reduce lending risk for financial institutions and help them provide additional credit to eligible borrowers facing cash-flow disruptions.
The scheme provides 100 per cent guarantee coverage for additional loans to MSMEs and 90 per cent guarantee coverage for other business segments.
Since its launch, 4,11,497 guarantees have been issued under ECLGS 5.0. The total guaranteed amount under the scheme has reached ₹1,55,229 crore.
MSMEs have received the largest share of support under the scheme. As per the official data, 98 per cent of all guarantees issued by number have benefited MSMEs, while 82 per cent of the total guaranteed amount has also gone towards MSMEs.
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The Department of Financial Services has also started a nationwide outreach campaign to increase awareness and adoption of the scheme.
The first phase of the outreach programme was completed between May 20 and June 6, 2026, across nine locations through State Level Bankers’ Committees.
The outreach involved participation from the National Credit Guarantee Trustee Company, PSB Alliance, banks, industry associations and enterprises.
The second phase is currently underway at 10 locations, of which four have already been completed.
The ministry said these outreach programmes are intended to ensure that eligible borrowers are aware of the scheme and can access its benefits. The programmes are also aimed at helping member lending institutions facilitate effective implementation.
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