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Sub: – Union Cabinet Enhances ECLGS Coverage for Hospitality and Related Sectors by Rs 50,000 Crore
 
Dear Member,
 
We are happy to share with you that the Union Cabinet has approved the enhancement in the limit of  Emergency Credit Line Guarantee Scheme (ECLGS) by Rs. 50,000 crore for hospitality, travel and tourism sectors. The overall ECLGS allotment has been hiked from Rs. 4.5 lakh crore to Rs. 5 lakh crore.

The additional amount has been earmarked exclusively for hospitality and allied sectors till 31st March 2023. As of 5th August 2022, loans worth around Rs. 3.67 lakh crore have been sanctioned under ECLGS, which is a continuing scheme implemented for tiding over the COVID -19 crisis.

ECLGS allocation towards the tourism & hospitality sector has been increased to counter severe disruptions caused by the COVID -19 pandemic. Besides this, the additional allocation is also aimed at incentivising lending institutions to provide additional credit of upto Rs. 50,000 crore at low cost so that the sector can meet its operational liabilities and continue their businesses.

Copy of the Press Release of PIB dated 17th August 2022 is enclosed for your kind reference.

With best regards,

Jaison Chacko
Secretary General
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The Federation of Hotel & Restaurant Associations of India
Regd. Off.: B-82, 8th Floor, Himalaya House, 23 K.G. Marg, New Delhi - 110 001
Tel.: 011-40780780, Email: fhrai@fhrai.com  Website: www.fhrai.com