Parul
As per reports, the bank would extend the moratorium to the Non- Banking Financial Companies (NBFCs) on a case-to-case basis after assessing their cash budgets and examining the need for extending it. To ensure that there is no gap in the cashflow and help them tide over the contingency, SBI has taken such a decision.
In fact, earlier, SBI had extended 10 per cent emergency COVID response contingency loan to all kinds of borrowers to an extent of Rs 200 crore each.
RBI governor, Shaktikanta Das reviewed liquidity position and ways to promote lending to the MSME sector. The operations of NBFCs have commenced now as the government eased restrictions for the lockdown.
According to reports, the governor discussed issues related to the availability of liquidity from banks and other financial institutions and post-lockdown strategies for supply of credit, including working capital, to MSMEs, traders and bottom of pyramid customers in semi-urban, rural and urban areas. The implementation of three months moratorium on repayment of loan installments announced by the RBI, and strengthening grievance redressal mechanisms have also been discussed.
