The ECLG scheme, announced in May, provides support worth Rs 3 lakh crore to the MSME sector, which was severely impacted by the COVID-19 outbreak.
Nearly 77 percent of chief executives of India Inc. felt interest rate reduction has not benefited their companies, a survey conducted by FICCI and Dhruva Advisors has revealed.
The survey took the responses of 100 corporate executives, Business Standard reported. The survey aimed to assess business sentiments after the gradual reopening of the economy began in June.
Around 79 percent were of the view that the Emergency Credit Line Guarantee Scheme (ECLGS) had not generated the expected returns.
The scheme, announced in May, provides support worth Rs 3 lakh crore to the micro, small and medium enterprises (MSME) sector, which was severely impacted by the COVID-19 outbreak.
Around 57 percent of the participants think that after the government's stimulus package, the economy will take 12 months to return to normalcy, 24 percent are of the opinion that it will take nine months, and 19 percent said it will take six months.Out of the respondents, 60 percent agreed that managing costs will be a challenge for their businesses. 59 percent said demand will be a challenge for their businesses, while the rest 41 percent did not see it as a challenge.