Govt Plans ₹2.5 Lakh Cr Credit Guarantee Scheme to Shield Businesses from West Asia War
Published on: April 3, 2026, 10:47 a.m. | Source: Outlook Business
India is planning a new credit guarantee scheme of up to ₹2–2.5 lakh crore to shield industry from the economic fallout of the West Asia conflict, easing funding for companies facing higher input and logistics costs. Modelled on the Covid-era ECLGS, the war-focused Guaranteed Emergency Credit Line (GECL) could offer 100% collateral-free loans to MSMEs and other businesses to prevent liquidity stress and support growth.
