The retail industry, which has been hit by the Covid pandemic and state-level lockdowns, has asked the Ministry of Finance and the Reserve Bank of India for liquidity support, a moratorium, interest subvention, and working capital to remain afloat.
As lockdown in states drag on, it is getting increasingly difficult for retailers to retain employees and to keep their businesses afloat, industry body Retailers Association of India said. Retailers need to pay salaries, minimum electricity, rentals and property taxes even if the businesses are shut due to lockdown. The cash inflow of the industry has come to a standstill, while the fixed operating costs remains intact, it said.
The Retailers Association of India has sought extension of emergency credit line guarantee scheme (ECLGS) to the retail sector.