Key details:

• Eligible borrowers include MSMEs, non-MSMEs with existing working capital limits, and scheduled passenger airlines.
• The scheme targets a total additional credit flow of Rs.2,55,000 crore, including Rs.5,000 crore for airlines.
• The guarantee fee for the scheme is nil.
• Additional credit support is capped at 20% of peak working capital utilized during Q4 FY26 for MSMEs, up to Rs.100 crore.
• For airlines, the additional credit limit is up to Rs.1,500 crore.
• The loan tenure for MSMEs and non-MSMEs is five years with a one-year moratorium; for airlines, it is seven years with a two-year moratorium.

The scheme is applicable to all loans sanctioned from the date of issue of guidelines by the National Credit Guarantee Trustee Company Limited up to March 31, 2027. It aims to help businesses maintain operations, protect jobs, and sustain supply chains amid the West Asia crisis. Shrivastava added, “What really matters in such moments is timely access to working capital and the 100% guarantee structure helps unlock that by giving lenders the confidence to move faster.”

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