Cabinet has given its ex-post facto approval to the AtmaNirbhar Package for the allocation of foodgrains. It is to be from Central Pool to approximately 8 crore stranded migrants. Prime Minister Shri Narendra Modi is the chairman of the said Cabinet.
Explicitly, five kg per person per month for two months, that is May and June 2020, will be given to migrants free of cost. It will entail an estimated food subsidy of about Rs.2,982.27 crore. Further, the Central Government will bear the expenditure on intra-state transportation and handling charges; also, dealer’s margin/ additional dealer margin i.e. about 127.25 crores.
Accordingly, the total subsidy from the Government of India is at about Rs. 3,109 crores (estimated). The allocation will ease the hardships faced by migrant/ stranded migrants due to economic disruption caused by COVID-19.
Additional approvals given under the AtmaNirbhar Package
The cabinet also approved a new Special Liquidity Scheme for Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs) to improve their liquidity position. Explicitly, the scheme is worth Rs. 30, 000 crore.
The cabinet also approved additional funding of up to Rs. 3 lakh crore at a concessional rate of 9.25 per cent through the Emergency Credit Line Guarantee Scheme (ECLGS) for the MSME sector hit hard by the coronavirus crisis.