New Delhi, Sep 5: Emergency Credit Line Guarantee Scheme (ECLGS) 5.0 has provided a major boost to access to institutional credit, with 6,73,979 guarantees issued for a total guaranteed amount of Rs 2,50,024 crore.

MSMEs account for the largest share of the support, making up 97.3 per cent of guarantees by number and 80.79 per cent of the total guaranteed value. The figures highlight the strong focus of the scheme on smaller businesses that often require timely working-capital support.

Implemented through the National Credit Guarantee Trustee Company, ECLGS 5.0 enables participating lenders to provide additional credit to eligible borrowers affected by external disruptions. The scheme covers MSMEs, eligible non-MSME businesses and scheduled passenger airlines.

The programme has been designed to facilitate additional credit flow of up to Rs 2.55 lakh crore. Eligible borrowers can receive assistance through scheduled commercial banks, scheduled urban cooperative banks, financial institutions and participating NBFCs, subject to applicable lending and eligibility conditions.

The scheme will remain operational until March 31, 2027, or until the overall guarantee limit of Rs 2.55 lakh crore is reached, whichever comes earlier.

To improve awareness and encourage wider participation, outreach programmes are being conducted across different locations through State Level Bankers’ Committees, with banks, NBFCs, industry associations and businesses taking part.

The initiative builds on earlier credit guarantee measures introduced during the Covid-19 period. By improving access to formal credit, ECLGS 5.0 is aimed at helping businesses manage working-capital requirements, maintain operations and remain financially resilient during periods of disruption.

Digital access through the Jan Samarth portal and the broad participation of lending institutions are further helping eligible businesses connect with the credit support available under the scheme.