FOR IMMEDIATE RELEASE
22nd JULY 2020
New Delhi: 22-07-2020:
At the beginning of the COVID crisis, we had taken up providing a moratorium on term loans with RBI and the government. We were pleased to note that the RBI vide circular DOR.No.BP.BC.47/21.04.048/2019-20 dated March 27, 2020 announced a moratorium on all term loans.
Our first national multi institutional survey on MSMEs in India released on Apr 29th, 2020 pointed out a need for extension of this moratorium. Subsequently, the RBI Governor’s Statement of May 22, 2020 provided a further three month extension for the moratorium on term loans. This ends Aug 31st, 2020.
This has perhaps been the single biggest relief that has helped MSMEs survive this period, resulting in some green shoots. Allowing late payment of taxes has had a similar impact.
NOTES TO THE EDITOR
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