“SMA-1 borrowers in the healthcare sector and 26 other high stress sectors (as identified by the Kamath Committee) are now eligible under ECLGS 2.0,” the finance ministry said in a tweet.
Special Mention Accounts (SMAs) are those which are witnessing stress and can become NPAs/stressed assets.
“In recognition of the continuing adverse impact of COVID-19 pandemic on certain service sectors, the government has now extended the scope of ECLGS through introduction of ECLGS 3.0 to cover business enterprises in Hospitality, Travel & Tourism, Leisure & Sporting sectors which had, as on February 29, 2020, total credit outstanding not exceeding Rs 500 crore and overdues, if any, were for 60 days or less, on that date,” the statement issued last month had said.
ECLGS 3.0 would involve extending credit of up to 40 per cent of total credit outstanding across all lending institutions as on February 29, 2020. The tenor of loans granted under ECLGS 3.0 would be six years, including a moratorium period of two years.
Till February-end, Rs 2.46 lakh crore of Rs 3 lakh crore were sanctioned under the scheme by commercial banks and non-banking financial companies (NBFCs).
The scheme was valid till October 2020 and it was extended to November-end. The scheme was again extended in November as part of the Aatmanirbhar Bharat 3.0 package till March 31, 2021 by including the 26 stressed sectors identified by the RBI-constituted K V Kamath committee.
The revised operational guidelines were issued by National Credit Guarantee Trustee Company Ltd (NCGTC).