The Union Cabinet, in Aug 2022, approved the enhancement in the limit of Emergency Credit Line Guarantee Scheme (ECLGS) by ________ , with the additional amount being earmarked exclusively for enterprises in hospitality and related sectors.
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. ₹50,000 crore.
- In August 2022, the Union Cabinet approved an increase of ₹50,000 crore to the Emergency Credit Line Guarantee Scheme (ECLGS), raising the total limit to ₹5 lakh crore.
- The additional amount was specifically earmarked for enterprises in the hospitality and related sectors, which were severely impacted by the COVID-19 pandemic.
- The enhancement aimed to provide relief to hotels, restaurants, travel, and tourism-related businesses, helping them recover from financial stress. The ECLGS was launched to provide credit support to companies during the pandemic and safeguard jobs and livelihoods in affected sectors.