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Published
Jan 27, 2022
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RAI urges government to support retailers with Emergency Credit Line Guarantee Scheme

Published
Jan 27, 2022

The Retailers Association of India has asked the central government to make available the Emergency Credit Line Guarantee Scheme for retailers affected by the Covid-19 pandemic and related restrictions. 

The RAI has made numerous recommendations for the upcoming government budget - Alto Nivel


The upcoming Union Budget should include the ECLGS for finance in retail to help retail businesses survive and recover from the pandemic, the RAI said in a statement, the Press Trust of India reported. Stating that the pandemic has disproportionately affected the poorer sections of India’s population, the RAI said the government needs to find ways to have them receive more money which would increase their spending power.
 
“ECLGS for finance in retail needs to be announced as most of the lockdowns impact high contact sectors like restaurants, shops, salons,” said the RAI’s CEO Kumar Rajagopalan in a statement, the Press Trust of India reported. 

Supporting the digitisation of the retail market is also important, according to the RAI. “Financial support for digitisation can help better boost the sector,” said Rajagopalan. “Also, a directional focus to enable retailers through the Open Network for Digital Commerce (ONDC) will give a big boost to the sector.”

Regulations around goods and services tax refunds need to be clarified and tax rates made more stable, according to the RAI. The organisation also stated that the government needs to address issues including rising inflation and a need for greater spending on infrastructure. 

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