"The scheme has sanctioned about ₹2.54 lakh crore ( ₹2.5 trillion) of loans under the previous three versions as of mid-May," it added. The Union government has decided to extend the validity of the scheme from 13 May till 30 September 2021 or till guarantees for an amount of ₹3 trillion are issued. "All these (sectors) have been hit hard by the second wave. In the current quarter, these sectors are expected to see a demand contraction of over 30% sequentially," Crisil said in the report. "Moreover, except for airport operators, many companies in the other stipulated sectors of the scheme have high leverage, which constrain their ability to withstand unexpected demand contraction," it added.

Source: Mint June 02, 2021 10:43 UTC