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New Delhi, May 11 () RBI director S Gurumurthy on Monday made a strong case for one-time restructuring of loans to enable banks to lend to businesses hit by the crisis due to coronavirus outbreak. The swadeshi ideologue also favoured monetisation of deficit by the Reserve Bank saying it was a better option than overseas funds. The banks got into trouble by overlending money during 2004-2009 and now they are getting the economy into trouble by not lending money, he said, attributing the problem to wrong prudential norms.In a webinar on 'Rebuilding Indian Economy: Challenges and Opportunities' organised by Bharat Prakashan Delhi, Gurumurthy said further said that out of Rs 11 lakh crore of deposits, the banks have deployed as much as Rs 6 lakh crore in Reserve Bank of India (RBI)."The banks got in trouble by overlending money in 2004 to 2009 and they are getting into trouble by not lending the money. When economy needs the money; bank has money; bank does not lend the money because of the wrong prudential norms we are following," Gurumurthy said. He pointed out that 80 per cent of borrowers have been disqualified to borrow and the banks are unable to lend. "I think the RBI and the government should (sit) together and work out a model by which all the people who have been declared as NPA, provided their companies, their businesses are viable, they should be having one-time restructuring plan without which the way we want to come out of COVID-19, we will not be able to out easily". Gurumurthy further said the world is going on a protective mode in the wake of the COVID-19 shock. "I am happy that some people like Dr C Rangarajan (former RBI Governor) and others are now saying that we should monetise our deficit. This is very important because the nation standing on its own strength will create money to manage its issues rather than expecting some money will come from outside to pay this out," he said. Recently, former RBI Governor Raghuram Rajan also had suggested that the government should go in for monetisation and higher fiscal deficit in a 'measured' way to protect the health of the economy in these abnormal times.Monetisation, which is loosely referred to the printing of currency by the Reserve Bank, need not be a constraint on government spending, Rajan had said in a blog, adding, "government should be concerned about protecting the health of the economy and should spend what is needed."The government is trying to garner resources to combat the impact of coronavirus on the economy and the Finance Ministry on Friday decided to raise the market borrowing programme by 54 per cent to Rs 12 lakh crore for 2020-21, up from Rs 7.8 lakh crore estimated in February. BKS NKD CS MRMR

Gurumurthy pitches for one-time restructuring of loans to boost economy

Kolkata, May 7 () Srei Infrastructure Financechairman Hemant Kanoria on Thursday welcomed SBI's decision toextend moratorium to NBFCs, but said the need is of one-timerestructuring of loans.State Bank of India (SBI), the country's largestlender, has decided to extend the RBI-approved moratorium tothe cash-strapped NBFC sector to help them tide over thecrisis.The RBI has allowed banks to extend moratorium toborrowers of term loans of all kinds for three months --March, April and May."Three months moratorium is not going to help as itwill end in May and economic activity is yet to pick up in thecountry," Kanoria told ."What we basically need is that there should be one-time restructuring of loans of all the borrowers, includingNBFCs, based on their future cash flow," he added.SBI would extend the moratorium to the Non-BankingFinancial Companies (NBFCs) on a case-to-case basisafter assessing their cash budgets and examining the need forextending it. dcSOM SOM

One-time restructuring of loans needed: Srei chief on SBI's moratorium offer

New Delhi, May 22 () Real estate developers on Friday welcomed cut in key interest rates but said the RBI needs to take more steps, such as one-time debt restructuring of builders loan, to provide relief to the industry which has been hit badly by the lockdown. The RBI needs to ensure that banks pass on the benefits to customers, they said. The industry hailed the extension in the moratorium on loan repayment but felt it was not enough. "The advantages extended by the RBI through reducing the repo rates are not being passed on by the banks to the customers. The series of reduction in policy rates will help all sectors including real estate which is hit by the contraction in demand and liquidity squeeze caused by the COVID 19. " However, we are hoping for quick transmission of these actions in banks' respective lending rates," CREDAI National Chairman Jaxay Shah said. "We expected more stringent measures from the RBI to revive the economy. Real Estate sector can act as a catalyst in resurrecting the economy, backed by stringent fiscal and non-fiscal measures. The move of moratorium extension is a short term piecemeal solution to a long term problem," CREDAI President Satish Magar said in a statement. Naredco President Niranjan Hiranandani said the reduction in repo rate and extension of moratorium period were steps in the right direction. "Industry though awaits one-time debt restructuring as a holistic measure to give a breather to the industries across the board and help in its quick revival," he added. Tata Realty and Infrastructure Managing Director (MD) and Chief Executive Officer (CEO) Sanjay Dutt said this will provide some financial relief to borrowers with their equated monthly instalments (EMIs) and make it cheaper to take new loans. Sobha Vice Chairman and MD J C Sharma said: "This will further lower the home loan interest rates. Such lowest ever, most lucrative reduced EMIs will augur well for the market sentiments and the larger economy. This will induce demand for homes and will give the much-needed fillip to the current state of the economy." Puravankara Ltd MD Ashish Puravankara said: "The further reduction of the repo rate will aid in ensuring adequate flow of capital in the market. We hope that all banks will incorporate the new announcements and pass down the benefits to loan seekers." Among property consultants, Anarock Chairman Anuj Puri said the repo rate cut will further help banks to lower home loan interest rates, which may get several more fence-sitters onto the market. Anshuman Magazine, chairman and CEO - India, South East Asia, Middle East &amp; Africa, CBRE, said: "The RBI's move to cut repo rate will have a positive effect on the residential property market. This is a clear step towards reducing lending rates, encouraging liquidity, preserving financial stability and supporting overall economic growth." JLL India Country Head Ramesh Nair said the faster transmission of these benefits to the end consumer in the form of lower home loan rates will aid in improving their effective affordability. "However, one-time restructuring of loans is the need of the hour more importantly for the real estate sector which is severely ailing due to the pandemic," he added. Dhruv Agarwala, Group CEO, Housing.com and Proptiger.com, said the move will boost sentiment and demand in the residential segment. "What needs to be seen is how quickly the banks reflect this change in their respective rates," he said. Knight Frank India CMD Shishir Baijal said it would have been a big respite if the long-standing real estate industry demand for a one - time restructuring of loans was allowed along with the measures announced on Friday. Savills India CEO said the lowering of the rates may help accelerate the decisions of a section of home buyers, in the next few months, if not immediately. "It will also help in reducing the EMI burden of customers during such grave times, provided the banks pass down the rates." Among other developers, Supertech Chairman R K Arora expressed disappointment that one time restructuring of loan was not allowed. Signature Global Chairman Pradeep Aggarwal said: "Now the situation for homebuyers might improve further as home loan interest rates are expected to come down further. Affordable housing will benefit the most as the buyers of this segment are very particular about the EMIs." ABA Corp Director Amit Modi, director said the banks need to quickly transmit the announced rate cuts to the end consumer, else the whole effort will be futile. Uddhav Poddar, MD, Bhumika Group said the industry was expecting one-time restructuring of loans while Prateek Mittal, Executive Director, Sushma Group, said the realty sector will benefit from the rate cut. Industry's demand for one-time restructuring of developers' loans should be met, said Ankush Kaul, President (Sales &amp; Marketing) - Ambience Group. The banks should immediately pass on the reduction in the repo to ensure the objectives of demand creation and liquidity infusion are achieved, said Kaushal Agarwal, chairman, The Guardians Real Estate Advisory. Farshid Cooper, MD, Spenta Corporation, said the announcement of a revision in repo rates and the extension of the moratorium on term loans provide much-needed relief to the economy and the realty sector. MJH SHW SHW

Realtors want banks to pass on benefit of rate cut to customers; demand one-time debt restructuring

Mumbai, May 5 () Non-banking financial companies (NBFCs) have asked the Reserve Bank of India to allow them one-time restructuring of all loans till March 2021, as their borrowers are facing funding issues amid the coronavirus pandemic and the subsequent lockdown. NBFCs have also demanded for extension of the Reserve Bank of India's moratorium to them, relaxation on provisioning norms and additional funding from Small industrial Development Bank of India (SIDBI) and National Bank for Agriculture and Rural Development (NABARD) through refinance mechanism. These suggestions were made by the industry players in their meeting with the Reserve Bank of India (RBI) held on Monday, according to the Finance Industry Development Council (FIDC), a representative body of lending NBFCs. The industry body said all their customers are facing disruptions in cash flow cycles, which is likely to be there for the major part of this fiscal. The most affected segments include transport operators, contractors and Micro, Small &amp; Medium Enterprises (MSMEs). "A one-time restructuring window should be allowed till March 2021 for amending the loan repayment schedules and/or extending loan tenures or restructuring the EMIs, without affecting the asset classification, in line with the revised expectation of cash flows of our customers," FIDC said in a statement. Currently, RBI has allowed banks and NBFCs for a one-time restructuring of existing loans to MSMEs till December 2020. NBFCs want that the one-time restructuring should be allowed for all other borrowers as well. While the three-months moratorium has provided some relief to borrowers, they may not be in a position to commence loan servicing from the fourth month on account of the disruption, FIDC said. It said the experience of targeted long term repo operations (TLTRO 2.0) clearly indicates risk aversion on the part of banks. In the first auction of TLTRO 2.0, RBI had received Rs 12,850 crore worth of bids, as against the notified amount of Rs 25,000 crore. "RBI should consider providing funds to a refinance mechanism through SIDBI, NABARD and their associate institutions which can provide long-term loans to NBFCs for their on-lending operations," the sector has requested the RBI. Also, the central bank should consider allocating the unsubscribed part of TLTRO 2.0 to SIDBI and NABARD. RBI, on April 17, announced to provide special refinance facilities for a total amount of Rs 50,000 crore to NABARD, SIDBI and National Housing Bank (NHB) to enable them to meet sectoral credit needs. NBFC players have also requested RBI that they should be given moratorium on their liabilities as well to ensure financial and liquidity stability to the sector. Last month, RBI had asked banks and NBFCs to maintain provisions of up to 10 per cent on all accounts that are at least 1 day past due and where a moratorium has been granted. The provision will be spread over two quarters - March, 2020 and June, 2020. NBFCs said given the nature of their borrowers and their businesses, it is routine for them to pay the EMIs a few days later. This usually happens due to various local factors (such as a truck operator's prolonged absence from home while driving the truck) and is not to be seen as a sign of credit risk, they said. A very substantial number of such customers service the loans before they become 30 days past due, the industry said while requesting a permission to make provisions, where moratorium has been given, only on loans that are 30 or more days past due. HV DRRDRR

COVID-19: NBFCs ask RBI for one-time restructuring of all loans till Mar 2021

New Delhi, Jul 6 () Punjab National Bank Managing Director S S Mallikarjuna Rao on Monday expressed hope that the Reserve Bank will unveil by October its loan restructuring mechanism for some sectors severely hit by the COVID-19 pandemic. Rao also said that the normalcy is still too far which is making it difficult to assess the situation of companies in terms of cash-flows. "We have requested RBI to permit restructuring. Bankers together have requested, through Indian Banks' Association (IBA), to RBI that you need to look at a one-time restructuring in all these accounts so that bankers will undertake the restructuring properly by analysing the cash flow. However, the account should not become NPA," he said during a webinar organised by CII. Citing an example of the US Federal Reserve, Rao said, the Fed has decided to directly lend corporates with two years' installment moratorium and one-year interest moratorium, besides offering longer durations for repayment. It, he stressed, indicates normalcy restoration by some of the industries is going to take longer. As per norms, Rao said, an account is treated as an NPA (non-performing asset) if it is restructured and provisions have to me made accordingly. Therefore, banks through IBA have requested the RBI for forbearance with regard to restructuring norms. "I believe in the recent board meeting they (RBI) have discussed. However, things may come out after some time. We can wait and see because as on today still we are unable to assess the cash flow of any unit because they have not come to normalcy. "So probably in the month of September and October you will have a better visibility in understanding about the cash flow, by which time, I am expecting that some decision in this regard could come from RBI," he said. The Reserve Bank in its 583rd board meeting on June 26 discussed current macroeconomic situation and evolving challenges being posed by the COVID-19 pandemic. In February, the RBI decided to extend the benefit of one-time restructuring without an asset classification downgrade to standard accounts of GST-registered micro, small and medium enterprises (MSMEs) that were in default as on January 1, 2020, in line with the Budget announcement. "More than five lakh MSMEs have benefitted from restructuring of debt permitted by the RBI in the last year. The restructuring window was to end on March 31, 2020. The government has asked the RBI to consider extending this window till March 31, 2021," Finance Minister Nirmala Sitharaman had said in the Budget Speech. Last month, the finance minister said the government is in talks with the RBI for a one-time restructuring of loans to help stressed companies. In 2008 also, when the world was hit by the global financial crisis, the RBI had announced a one-time loan restructuring for several sectors to help them tide over the economic woes. However, the benefit was misused by many corporate borrowers and banks, compelling the regulator to tighten the rules in 2015. The RBI also initiated asset quality review in December 2015 to put an end to the concept of evergreening of accounts to keep them standard and avoid provisioning. Subsequently, one-day default norm was introduced and resolution of default cases are now dealt as per the Insolvency and Bankruptcy Code (IBC). DP MKJ MKJ

COVID-19: PNB chief hopeful of RBI allowing one-off loan restructuring by Oct

New Delhi, Aug 17 (IANS) The Reserve Bank of India's (RBI) move on one-time loan restructuring will help soften the Covid-19 pandemic's impact on the asset quality of banks, CRISIL Ratings has said in a report earlier. According to the rating agency, without the loan restructuring support, gross non-performing assets (NPAs) could have touched a two-decade high of 11.5 % by the end of this fiscal, but will now likely print considerably below that level. The central bank has permitted relaxations for corporate loans under the June 2019 Prudential Framework on Resolution of Stressed Assets. These will benefit borrowers in most categories. Indeed, in a first, the restructuring option has been extended to retail borrowers as well, given that many of them may face challenges in servicing debt owing to salary cuts and job losses. Micro, small and medium enterprises (MSMEs), which have been substantially a ffected by the pandemic-led disruptions, have also got relief in the form of a three-month extension in the existing restructuring scheme, i.e. till Mar ch 31, 2021. The major beneficiaries, though, will be sub-Rs 500 crore corporate exposures and retail exposures, which were earlier expected to see the highest increase in NPAs in percentage terms. The debt at risk in these segments - or loans at risk of slipping into NPAs this fiscal unless restructured by banks - is a sizeable Rs 3 lakh crore, the report has said. Krishnan Sitaraman, Senior Director, CRISIL Ratings, said, "In the corporate segment, the situation today is different from the previous asset quality stress cycle, which started four years ago. Last time, the NPAs came primarily from bigger, chunkier accounts, whereas this time, an analysis of the top 100 exposures of our large, rated banks reveals that following a period of consolidation and deleveraging, these entities are likely to be better-positioned to withstand the current challenges. The key beneficiaries of the RBI's measures, though, will be small and mid-sized accounts, which are far less resilient in the current situation." CRISIL's analysis of the credit profile of banking sector exposures over Rs 25 crore bears this out. The study, covering 14,000 companies that constitute over 75% of the overall corporate portfolio of banks, shows that the debt at risk in corporate loan accounts with exposure less than Rs 500 crore is Rs 2 lakh crore. As a proportion of loans outstanding in this segment, it is 5 times that for larger corporate loan accounts with exposure more than Rs 500 crore. Further, the retail segment, which was considered a safe haven for banks in r ecent years, is witnessing significant pressure, given the stress being faced by salaried as well as self-employed borrowers. While home loans, the largest secured segment, would be less at risk owing to the psychological attachment of Indians to the homes they live in, and the priority they accord to repaying home loans, this does not hold for segments such as unsecured loans. The total debt at risk in the retail segment is estimated to be Rs 1 lakh crore. Asset quality in the MSME segment, which is among the most vulnerable, is already benefitting from the restructuring scheme that was in force till December 31, 2020, as well as measures such as the Rs 3 lakh crore Emergency Credit Line Guarantee Scheme. With the proposed extension of the restructuring scheme, the reported gross NPA for the segment is, therefore, unlikely to see much of an increase vis-A-vis March 2020 levels. Subha Sri Narayanan, Director, CRISIL Ratings, said, "While the RBI measures will cushion the rise in NPAs, implementation is key, as are individual banks' policies on extending these relaxations to customers. For corporate loans, given the requirements of participation by lenders having 75% of exposure by value and 60% by number, and independent credit assessment by a credit rating agency, as well as the stringent timelines for invocation and implementation, we are likely to see banks being selective in extending restructuring. On the retail side, banks could follow different paths, with the well-capitalised ones choosing to recognise more of the stressed loans as NPAs rather than restructuring these." Factors such as prescribed eligibility criteria, additional provisioning requirements, and capping of restructuring tenures are expected to play a role in limiting the extent of restructured assets. Nevertheless, slippages to NPA in small and mid-size corporate loan accounts this fiscal should be well be low what was envisaged earlier. --IANS sn/ptr

Loan restructuring to stem runaway rise in NPAs this fiscal

India’s biggest banks, who are pressurising on return of <a href="http://www.businessinsider.in/searchresult.cms?query=VIJAY+MALLYA">Vijay Mallya</a> to India, say they cannot be blamed for inaction towards Mallya in the debt case. 
 
In 2010, the <a href="http://www.businessinsider.in/searchresult.cms?query=RBI">RBI</a> (<keyword id="6354335" type="CITY" weightage="20" keywordseo="reserve-bank-of-india">Reserve Bank of India</keyword>) had taken a decision to widen the corporate debt restructuring scheme. 
 
As per experts, this was done to resurrect the ailing <a href="http://www.businessinsider.in/searchresult.cms?query=aviation">Indian aviation industry</a>, which also sent out a message to extend more loans to shore up Mallya's ailing <a href="http://www.businessinsider.in/searchresult.cms?query=kingfisher+airlines">Kingfisher Airlines</a>. 
 
As per a report by Economic Times, banks restructured loans after RBI’s nod and an independent agency’s assessment. 
 "Banks restructured loans based on two factors - RBI permitted to do so and second, based on an assessment from an independent agency, <keyword id="13222" type="CITY" weightage="20" keywordseo="SBI">SBI</keyword> Caps, which endorsed that restructuring of <keyword id="6373962" type="CITY" weightage="20" keywordseo="Kingfisher-Airlines">Kingfisher Airlines</keyword> loans would revive the company," Pradeep Ramnath, former chairman of Corporation Bank, told ET. 
 
READ ALSO: <a href="http://www.businessinsider.in/You-have-blood-on-your-hands-employees-of-Kingfisher-Airlines-write-to-Mallya-as-he-owes-Rs-300-crore-in-salary/articleshow/51340295.cms">‘You have blood on your hands’, employees of Kingfisher Airlines write to Mallya as he owes Rs 300 crore in salary</a> 
 
On the contrary, many experts feel the RBI cannot be put under spotlight as the central bank was trying to revive the Indian aviation industry from the slump. 
 
"RBI can't be faulted because loan restructuring was one of the steps taken over a span of couple of years to revive the airline sector," an analyst with a domestic brokerage told ET. 
 
The <a href="http://www.businessinsider.in/searchresult.cms?query=enforcement+directorate">Enforcement Directorate</a> has summoned <keyword id="14678" type="PERSON" weightage="20" keywordseo="Vijay-Mallya">Vijay Mallya</keyword> and he has a week’s time to appear before the agency.

This one step by RBI led Vijay Mallya to lend huge amount

New Delhi, Jan 31 () Realtors' body CREDAI expects the government to allow debt restructuring of cash-starved developers and tax incentives for homebuyers as part of measures to boost housing demand.
 "We have high hopes from the Budget to be presented on Saturday. We have demanded restructuring or rollover of developers' loan, steps to increase residential property demand and a policy to promote rental housing. We believe that our demand will be considered positively," CREDAI National Chairman Jaxay Shah said.
 He said loans up to Rs 1 lakh crore are required to be restructured in view of liquidity crunch faced by builders.
 "Liquidity shortage continues to cause distress in real estate. Hence, a one-time restructuring scheme with moratorium on principal and interest of 2 years is immediately needed," CREDAI President Satish Magar said.
 Naredco has also been demanding restructuring of loans or one-time rollover in case of the stressed assets at the options of banks. In such cases, the borrower will retain the asset classification of the restructured standard accounts as standard and the same will not be treated as non-performing assets (NPAs).
 Anarock Chairman Anuj Puri said there is a need to lower GST rate on under-construction flats to 2 per cent from the current 5 per cent, apart from tax incentives to boost purchase of homes.
 "While real estate has attracted investment over USD 6 billion in 2019, however the government should take more steps to ease and widen domestic/international fund flow, fasten approvals/clearances, provide incentives to aid use of technology to allow faster construction and launch some skill development programmes specifically aimed towards RE (real estate), which is the second largest employer in the country," said Anshuman Magazine, chairman &amp; CEO (India, South East Asia, Middle East &amp; Africa), CBRE.
 Knight Frank India CMD Shishir Baijal sought further deduction on the principal repayment of housing loans under Section 80C.
 JLL India Country Head and CEO Ramesh Nair said the Union Budget is an effective tool that can be used by the government to bring in more demand-side interventions to incentivise the homebuyers who are crucial for the revival of the sector.
 Dhruv Agarwala, Group CEO of PropTiger.com and Housing.com, said, "Immediately, the biggest challenges confronting the real estate sector are liquidity and demand. While the Rs 25,000 cr stress fund/AIF (alternate investment fund) that was announced earlier is likely to solve part of the liquidity crisis, there is an urgent need for a one-time loan restructuring for the sector."
 He said the restructuring would provide significant relief to developers and lead to faster completion of projects.
 To push demand, he said the government should consider lowering the tax burden on individuals to put more money in people's hands and also consider providing an additional tax deduction on purchase of a second house.
 Omaxe CEO Mohit Goel demanded a one-time loan restructuring for the sector. "This will speed up construction, and once construction begins in a full swing, not just consumer confidence but also sales and overall economy will see an upswing."
 Prashant Tiwari, chairman, Prateek Group, and president, CREDAI Western UP, said, "One-time loan restructuring permission should be granted for real estate loans. Give infrastructure status to the real estate. Reduce the GST for under-construction projects. These changes in the policy will help to revive real estate."
 Honeyy Katiyal, founder of Investors Clinic, said the limit of Rs 45 lakh to avail reduced GST rates of 1 per cent for affordable housing should be increased to Rs 65-75 lakh.
 Online marketplace FindMyCowork.com's co-founder, Dushyant Sinha, said that the commercial real estate sector has been performing well, especially co-working segment, so the Budget should provide tax incentives for property buyers who want to own office and retail space.
 Paras Arora, chief executive officer and founder of Qdesq, said the co-working industry relies solely on equity infusion from investors for fund growth and demanded that the options for bank and financial institutions funding for recognised co-working start-ups should be provided. MJH HRS

Realtors expect debt restructuring up to Rs 1 lakh crore, tax sops for homebuyers in Budget

Mumbai, Feb 6 () In a bid to increase lending to MSME as well as to auto and home segment, Reserve Bank on Thursday tweaked maintenance of cash reserve ratio (CRR) norms by providing relaxation in calculation of total deposits. The move will encourage lending towards these targeted sectors having multiplier effect by banks as they will get exemption in CRR over incremental lending. This exemption window is available till July 2020. CRR is the percentage of total deposits that bank mandatorily park with the apex bank. It stands at 4 per cent of a bank's total deposit. Alongside sustained efforts to improve monetary transmission, the Reserve Bank is actively engaged in revitalising the flow of bank credit to productive sectors to support growth, as per the Statement on Developmental and Regulatory Policies released by RBI. "As a part of this, it has now been decided that scheduled commercial banks will be allowed to deduct the equivalent of incremental credit disbursed by them as retail loans for automobiles, residential housing and loans to micro, small and medium enterprises (MSMEs), over and above the outstanding level of credit to these segments as at the end of the fortnight ended January 31, 2020 from their net demand and time liabilities (NDTL) for maintenance of CRR," it said. This exemption will be available for incremental credit extended up to the fortnight ending July 31, 2020, it said. To give boost to the real estate sector, RBI said, it has been decided to permit extension of date of commencement of commercial operations (DCCO) of project loans for commercial real estate, delayed for reasons beyond the control of promoters, by another one year without downgrading the asset classification, in line with treatment accorded to other project loans for non-infrastructure sector. "This would complement the initiatives taken by the Government of India in the real estate sector. The detailed instructions will be issued shortly," it said. Observing that MSME sector plays an important role in the growth of the Indian economy, RBI said the restructuring of the borrower account has been extended by further one year to March 31, 2021. Micro, Small and Medium Enterprises (MSMEs) contributes over 28 per cent of the GDP, more than 40 per cent of exports and employs about 11 crore people. Considering the importance of MSMEs in the Indian economy and for creating an enabling environment for the sector, a one-time restructuring of loans to MSMEs that were in default but 'standard' as on January 1, 2019, was permitted without an asset classification downgrade. The restructuring of the borrower account was to be implemented by March 31, 2020, it said, adding, the scheme has provided relief to a large number of MSMEs. "As the process of formalisation of the MSME sector has a positive impact on financial stability and this process is still underway, it has been decided to extend the benefit of one-time restructuring without an asset classification downgrade to standard accounts of GST registered MSMEs that were in default as on January 1, 2020, it said. The restructuring under the scheme has to be implemented latest by December 31, 2020, it said. "This will benefit the eligible MSME entities which could not be restructured under the provisions of the circular dated January 1, 2019 as also the MSME entities which have become stressed thereafter. It is re-emphasised that this is a one-time regulatory dispensation. Detailed guidelines, in this regard, will be issued shortly," it said. Post transfer of regulation of Housing Finance Companies (HFCs) from National Housing Bank (NHB) to Reserve Bank with effect from August 9, 2019, it was decided that Reserve Bank will carry out a review of the extant regulatory framework applicable to HFCs and issue revised regulations in due course, and till such time HFCs shall continue to comply with the directions and instructions issued by NHB. "It is proposed to place the draft revised regulations on the Bank's website by the end of this month, for public comments," it said. DP DRR

You Searched For "one time restructuring of loans" and got 9 results

Gurumurthy pitches for one-time restructuring of loans to boost economy

PTI

One-time restructuring of loans needed: Srei chief on SBI's moratorium offer

PTI

Realtors want banks to pass on benefit of rate cut to customers; demand one-time debt restructuring

PTI

COVID-19: NBFCs ask RBI for one-time restructuring of all loans till Mar 2021

PTI

COVID-19: PNB chief hopeful of RBI allowing one-off loan restructuring by Oct

PTI

Loan restructuring to stem runaway rise in NPAs this fiscal

IANS

This one step by RBI led Vijay Mallya to lend huge amount

BI India Bureau

Realtors expect debt restructuring up to Rs 1 lakh crore, tax sops for homebuyers in Budget

PTI

RBI announces incentive for lending to MSME, home, auto sectors

PTI

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