Cabinet approves Emergency Credit Line Guarantee Scheme 5.0

• ECLGS 5.0 is the fifth iteration of a collateral-free, government-backed credit guarantee scheme administered by NCGTC, this time targeted at the civil aviation / airline sector with spillover MSME coverage.
• Approved by the Union Cabinet on 6 May 2026 with an additional credit flow of Rs 2,55,000 crore, of which Rs 5,000 crore is earmarked for airlines facing stress from ATF price spikes and West-Asia airspace closures.
• Demonstrates the template of credit-guarantee-based liquidity support first deployed during COVID-19 (May 2020) now being repurposed for geopolitical / sectoral shocks — a key economy + governance theme.