This article is more than 1 month old.

Explained: RBIs relief measures for banks, NBFCs


No moratorium was announced as was being expected.

Reserve Bank of India (RBI) Governor Shaktikanta Das on Wednesday announced a number of schemes that are not only aimed at providing relief to the ailing economy but will also be used to fight the pandemic going forward. However, no moratorium was announced as was being expected.
Here’s what it means for lenders and borrowers
Banks can borrow upto Rs 50,000 crore from the RBI at 4 percent. However, they can only lend to medical related borrowers like hospitals, oxygen equipment importers, vaccine makers and importers. Also the loans will be classified as priority sector and the equivalent of COVID loan book will get 3.75 percent in reverse repo window versus 3.35 percent.
NBFCs and banks
NBFCs and banks can restructure loans up to Rs 25 crore. However, only borrowers who haven't availed so far can use the window. Borrowers who had already applied, their tenures can be extended to 5 years.
Small finance banks
Small finance banks can borrow upto Rs 10,000 crore under a 3-year repo from RBI. However, they must lend fresh loans to borrowers under Rs 10 lakh each and loans to MFIs will be considered as priority sector loans.

Market Movers

Adani Ports735.45 41.10 5.92
NTPC116.60 3.05 2.69
UltraTechCement6,766.45 72.55 1.08
HUL2,502.95 20.05 0.81
Asian Paints3,071.20 24.00 0.79
NTPC116.55 3.00 2.64
UltraTechCement6,770.45 76.70 1.15
HUL2,503.75 23.00 0.93
Asian Paints3,069.20 19.55 0.64
Bajaj Auto4,178.55 13.60 0.33
Adani Ports735.45 41.10
NTPC116.60 3.05
UltraTechCement6,766.45 72.55
HUL2,502.95 20.05
Asian Paints3,071.20 24.00
NTPC116.55 3.00
UltraTechCement6,770.45 76.70
HUL2,503.75 23.00
Asian Paints3,069.20 19.55
Bajaj Auto4,178.55 13.60


Rupee-100 Yen0.67520.00500.74