India Plans Relief Package Amid Disruptions from Iran War
Centre Likely To Roll Out Relief Package For Sectors Hit By Iran War
Ndtv
Image: Ndtv
The Indian government is set to introduce a relief package for sectors affected by the ongoing Iran war, which has disrupted exports and imports. This package, part of a ₹2.5 lakh crore (approximately $300 billion USD) Emergency Credit Line Guarantee Scheme, includes a proposed ₹5,000 crore (roughly $600 million USD) credit scheme for airlines.
- 01The Indian government plans a relief package under the ₹2.5 lakh crore Emergency Credit Line Guarantee Scheme.
- 02A proposed ₹5,000 crore credit scheme for airlines is part of the package.
- 03Up to 90% credit guarantee cover may be offered to affected sectors.
- 04The Iran war has led to significant stock corrections across multiple sectors.
- 05Disruptions in the Strait of Hormuz could impact India's energy needs and raise costs.
Advertisement
In-Article Ad
In response to the ongoing Iran war, which has severely disrupted exports and imports, the Indian government is preparing to roll out a relief package targeting the most affected sectors. This initiative will be framed under the ₹2.5 lakh crore (approximately $300 billion USD) Emergency Credit Line Guarantee Scheme (ECLGS). Among the provisions being considered is a ₹5,000 crore (roughly $600 million USD) credit scheme specifically for airlines, which may also gain access to a Centre-backed credit line through the ECLGS. The package could include a credit cap of up to ₹1,000 crore (about $120 million USD) per airline and may extend over five years. Additionally, the government is looking to provide up to 90% credit guarantee cover for the impacted sectors. The fallout from the Iran war has caused a sharp correction in stock prices across various industries, with over 400 stocks experiencing double-digit declines in March alone. Key sectors affected include energy, airlines, textiles, and consumer goods. The situation is further complicated by rising jet fuel prices due to disruptions in the Strait of Hormuz, which is vital for India's energy imports.
Advertisement
In-Article Ad
The relief package aims to stabilize sectors heavily impacted by the Iran war, particularly airlines facing rising fuel costs, which could lead to lower ticket prices and improved service reliability.
Advertisement
In-Article Ad
Reader Poll
Do you support the government's relief package for sectors affected by the Iran war?
Connecting to poll...
Read the original article
Visit the source for the complete story.



