SpiceJet borrowed Rs 127.51 crore, Go First Rs 25.65 crore under ECLGS scheme: Govt

SpiceJet and Go First airlines have borrowed Rs 127.51 crore and Rs 25.65 crore, respectively under the Emergency Credit Line Guarantee scheme started by the Centre to provide assistance to Covid-affected businesses, Minister of State for Civil Aviation V K Singh said on Wednesday. While Go First, previously known as GoAir, borrowed the amount under the Emergency Credit Line Guarantee Scheme (ECLGS 2.0), SpiceJet borrowed the money under ECLGS 3.0, he said in a written reply in the Rajya Sabha.
"According to the information received from the National Credit Guarantee Trustee Company, as on July 16, borrowers belonging to aviation sector have been provided guarantee support to the extent of Rs 349 crore (under ECLGS scheme)," the minister noted.

The Centre had started the ECLGS scheme last year to provide collateral-free and government-guaranteed loans to businesses affected by the coronavirus pandemic.

ECLGS 2.0 allows aviation companies with dues in between Rs 50 crore and Rs 500 crore to borrow up to Rs 50 crore.

ECLGS 3.0 allows aviation companies to get a loan of up to 40 per cent of its total credit outstanding across all lending institutions. The amount borrowed by the companies cannot be more than Rs 200 crore.

Singh told the Upper House that Bird Worldwide Flight Services borrowed Rs 8.52 crore under ECLGS 3.0.

He said CAE Simulation, Aerostructures Manufacturing India, Bengal Aerotropolis Projects, Squad Forging India and Wasil borrowed Rs 18.4 crore, Rs 45.18 crore, Rs 16.35 crore and Rs 3.5 crore, respectively under ECLGS 2.0.

The MoS added that Flight Simulation Technique Centre, Air Works India Engineering, Vem Technologies, Rossell India and Alpha Design Technologies have borrowed Rs 44.14 crore, Rs 11.06 crore, Rs 1.93 crore, Rs 18.31 crore and Rs 2.49 crore, respectively, under ECLGS 2.0.