Circular issued by the Reserve Bank of India.
Dear all,
Your association SIMA is forwarding herewith Circular issued by the Reserve Bank of India, dated 27.03.2020.
Vide the Circular, the Statement of Development and Regulatory Policies released on 27th March 2020 where inter alia certain regulatory measures were announced to mitigate the burden of debt servicing brought about by disruptions on account of COVID-19 pandemic and to ensure the continuity of viable businesses. In this regard, the detailed instructions are as follows:
1.Rescheduling of Payments – Term Loans and Working Capital Facilities.
In respect of all term loans (including agricultural term loans, retail and crop loans), all commercial banks (including regional rural banks, small finance banks and local area banks), co-operative banks, all-India Financial Institutions, and NBFCs (including housing finance companies) (“lending institutions”) are permitted to grant a moratorium of three months on payment of all instalments1 falling due between 1st March 2020 and 31st May 2020. The repayment schedule for such loans as also the residual tenor will be shifted across the board by three months after the moratorium period. Interest shall continue to accrue on the outstanding portion of the term loans during the moratorium period.
TO VIEW THE CIRCULAR PLEASE CLICK HERE.
Thanking you,
With regards,
For Silvassa Industries & Manufacturers Association
Narendra Trivedi
Secretary
