Lok Sabha Question No. 2 (STARRED), answered on 2021-07-19
Subject: Stimulus Package for Covid-affected Sectors
Ministry: FINANCE
Asked by: Rajveer (Raju Bhaiya) Singh, Sukanta Majumdar

## FINANCE MINISTER

## GOVERNMENT OF INDIA MINISTRY OF FINANCE

## DEPARTMENT OF EXPENDITURE

## LOK SABHA

## STARRED QUESTION NO. 2

## TO BE ANSWERED ON MONDAY 19 th  JULY, 2021

[28 Ashadha, 1943 (SAKA)]

## Stimulus Package for Covid-affected Sectors

## 2. SHRI RAJVEER SINGH (RAJU BHAIYA): DR. SUKANTA MAJUMDAR:

Will the Minister of FINANCE be pleased to state:

- (a) whether  the  Government  has  recently  announced  Rs  6.28  lakh  crore  stimulus package to boost Covid-affected sectors and if so, the details thereof;
- (b) whether the Government has planned to offer guarantees to banks for lending to microfinance sector and if so, the details thereof;
- (c) whether  the  Government  has  also  planned  to  increase  the  size  of  Emergency Credit Line Guarantee Scheme (ECLGS) to Rs 4.5 lakh crore from Rs 3 lakh crore and if so, the details thereof;
- (d) whether the Government has  planned  to give loan  guarantees  to  tourism  sector under  ECLGS and free visa for first 5 lakh tourists once borders re-open and if so the details thereof; and
- (e) the  other  important  steps  being  taken  by  the  Government  during  the  Covid-19 pandemic in this regard?

## ANSWER

(SHRIMATI  NIRMALA SITHARAMAN)

(a) to (e):  A statement is laid on the Table of the House.

Statement referred to in reply to Lok Sabha Starred Question No. 2 for answer on July 19,  2021  raised  by  Shri  Rajveer  Singh  (Raju  Bhaiya)  and  Dr.  Sukanta  Majumdar regarding 'Stimulus Package for Covid-affected Sectors':

- (a) Yes Sir. Government of India has on 28 th June, 2021 announced a stimulus package of Rs.6,28,993 crore. The package aims to boost diverse sectors of economy affected by COVID-19 pandemic. The Government has announced a total of 17 measures in three broad categories: -
- i) Economic  relief  from  Pandemic :  Eight  measures  in  the  stimulus  package announced aim at providing economic relief to people and businesses affected by the  COVID-19  pandemic.  In  this  part  of  the  package,  the  Government  has  laid special focus on health and reviving travel and tourism sectors.
- ii) Strengthening Public Health : Besides supporting the health sector through credit guarantee  schemes,  Rs.  23,220  crore  was  announced  for  public  health  with emphasis on children and pediatric care/pediatric beds
- iii) Impetus for Growth and employment :  Eight  measures in  the stimulus package announced aim at providing impetus for growth and employment.
- (b) Yes  Sir.  Government  of  India  has  decided  to  provide  guarantee  to  the  Scheduled Commercial  Banks  for  loans  to  new  or  existing  Non  Banking  Financial  Companies (NBFC) and Micro Finance Institutions (MFIs) for on lending of upto Rs 1.25 lakh to approximately 25 lakh small borrowers with interest rate on loans from banks capped in each case  at Marginal Cost of Funds based Lending Rate (MCLR) plus 2%.
- (c) Yes Sir. The government has decided to expand the Emergency Credit Line Guarantee Scheme (ECLGS), launched as part of Aatma Nirbhar Bharat Package in May, 2020, by additional Rs 1.5 lakh crore. ECLGS has got a very warm response with Rs 2.73 lakh crore sanctioned and Rs 2.10 lakh crore already disbursed under the scheme.
- (d) Yes  Sir.  The  government  has  decided  to  provide  working  capital/personal  loans  to Regional Level Tourist Guides recognised by Ministry of Tourism and Tourist Guides recognised  by  the  State  Governments;  and   Travel  and  Tourism  Stakeholders  (TTS) recognized by Ministry of Tourism.
- (e) Apart  from  aforesaid  measures,  the  Government  has  taken  many  other  steps.  These include  extension  of  Aatma  Nirbhar  Bharat  Rozgar  Yojana  till  31st  March  2022; additional subsidy of Rs. 14,775 crore for DAP & P&K fertilizers; extension of Pradhan Mantri  Garib  Kalyan  Anna  Yojana  (PMGKAY)  -  Free  food  grains  from  May  to November, 2021; Rs. 33,000 crore boost for project exports through National Export Insurance  Account  (NEIA);  Rs.  88,000  crore  boost  to  Export  Insurance  Cover;  Rs. 19,041  crore  for  Broadband  to  each  Village  through  BharatNet  PPP  Model;  and extension of tenure of PLI Scheme for Large Scale Electronics Manufacturing till the financial year 2025-26.

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