Finance Minister Nirmala Sitharaman announced a series of steps aimed to push credit off-take in priority areas such as health infrastructure and the severely hit tourism sector by providing interest-rate concessions.
The aim is to have a speedy clearance for projects so that the private sector’s efficiency can come in and asset monetisation can be quickly done. The total amount of this package announced today adds up to Rs 6,28,993 crore.
It is a move to expand the scope of the Emergency Credit Line Guarantee Scheme — for small and medium firms — from Rs 3 lakh crore to Rs 4.5 lakh crore, she announced a credit guarantee scheme amounting to Rs 50,000 crore to ramp up healthcare infrastructure beyond the eight major metros. And a credit guarantee of Rs 60,000 crore for other sectors impacted by Covid.
The PLI scheme for large scale electronics manufacturing provides incentives of 6% tapering down to 4% on incremental sales of goods. The incentives were to be applicable from August 1, 2020. Now, we have extended the tenure of the scheme by one year till 2025-26, and for those who made investments in 2020-21 will get counted in this because we have given them the option to choose any five years to meet the production target.
The companies which were not able to achieve targets had very many legitimate reasons so they have been given more time. We are executing the Budget announcement of results-linked incentive scheme for power distribution. It is a major reform that will have a State-specific approach, not a one size fits all approach. The scheme has been allocated Rs 3.03 lakh crore, with the Centre’s share at Rs 97, 631 crore.
This is a major announcements been made in various sectors ,which will give a strong relief in the sectors including Broadband for villages, National Export Insurance Account, NERAMAC, Climate-resilient crops, Focus on paediatric care, Pradhan Mantri Garib Kalyan Anna Yojana, Fertilizers, Atmanirbhar Bharat Rozgar Yojana, Tourist guides and travel agencies, Fresh loans through MFIs, Emergency Credit Line Guarantee Scheme and finally Rs 50,000 crore for scaling up medical infrastructure