RAI demands ECLGS
Retail businesses in need of Emergency Credit Line Guarantee Scheme (ECLGS); Any scheme in budget that increases the spending power of the poor to counter rising inflation will be welcomed
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It is important for the sector to get all support that MSME policies accord, as more than 90% can be classified and MSME, says Kumar Rajagopalan, CEO, RAI
New Delhi: Retailer's body RAI on Tuesday said there is a need for the Emergency Credit Line Guarantee Scheme (ECLGS) for business establishments of the sector, which have been impacted by COVID-19-related restrictions.
In its Budget wish list, the Retailers Association of India (RAI) also said more money needs to be put in the hands of the poor and the salaried as two years of the pandemic have impacted many in the poorer section of the population. "ECLGS for finance in retail needs to be announced as most of the lockdowns impact high contact sectors like restaurants, shops, salons, etc," RAI Chief Executive Officer Kumar Rajagopalan said in a statement. While the retail sector recently got included in priority lending guidelines under MSME, he said, "It is important for the sector to get all support that MSME (micro, small and medium enterprises) policies accord as more than 90 per cent of retail can be classified and MSME."
Calling for support to retail with policy around digitisation, Rajagopalan said retailers need to get themselves digitised faster and need to get e-commerce ready. "Financial support for digitisation can help better boost the sector. Also, a directional focus to enable retailers through the Open Network for Digital Commerce (ONDC) will give a big boost to the sector," he added.
