Economic Impact Of Coronavirus 3.2 Crore Account Holders Availed RBI’s Loan Moratorium, Says Finance Ministry

As many as 3.2 crore account holders in state-owned banks availed the moratorium on loans announced by the Reserve Bank of India (RBI), amid the economic distress caused due to the COVID-19 pandemic, the official Twitter handle of Finance Minister Nirmala Sitharaman’s office, said on Thursday.

PSBs complemented RBI on loan moratorium. Their effective communication & proactive actions ensured that over 3.2 cr. a/c availed 3-month moratorium. Quick query redressals allayed customer concerns. Ensuring responsible banking amid #lockdown@FinMinIndia@DFS_India@PIB_India

— NSitharamanOffice (@nsitharamanoffc) May 7, 2020

In another tweet, the government said that during March and April, the public sector banks (PSBs) sanctioned loans worth Rs 5.66 lakh crore for more than 41.81 lakh accounts, adding that these borrowers belong to the micro, small and medium enterprise (MSME), retail, agriculture and corporate sectors.

During March-April 2020, PSBs sanctioned loans worth Rs 5.66 lakh cr for more than 41.81 lakh accounts. These borrowers are from MSME, Retail, Agriculture & Corporate sectors, waiting for disbursal soon after #lockdown lifts. Economy poised to recover! @FinMinIndia@DFS_India

— NSitharamanOffice (@nsitharamanoffc) May 7, 2020

The finance minister’s office also said that loans worth Rs 77,833 crore have been sanctioned to the non-banking finance corporations (NBFCs) and housing finance corporations (HFCs).

Sustained credit flow to #NBFCs & HFCs in #COVID19! PSBs sanctioned loans worth Rs. 77,383 cr. b/w Mar 1-May 4. Inclusive of TLTRO funds, extended total financing of Rs. 1.08 lakh crore, ensuring business stability & continuity going forward. @FinMinIndia@DFS_India@PIB_India

— NSitharamanOffice (@nsitharamanoffc) May 7, 2020

In March, the central bank had announced that all term loans, including retail and crop loans and working capital payments, will be covered by the three-month moratorium.

On Thursday, the country’s largest lender State Bank of India (SBI) decided to extend the moratorium to cash-strapped NBFC sector to help them tide over the cash flow crisis.