PM Narendra Modi Praises RBI, Says Steps Announced by The Reserve Bank of India Will 'Enhance Liquidity And Improve Credit Supply'
PM Narendra Modi hailed the announcements made by Reserve Bank to help ailing business community tackle economic loss amid coronavirus lockdown. PM Modi was of the opinion that the new RBI measures would greatly enhance liquidity and improve credit supply. PM Modi also mentioned that the new announcements would help our small businesses, MSMEs, farmers and the poor.
New Delhi, April 17: Prime Minister Narendra Modi on Friday hailed the announcements made by Reserve Bank to help ailing business community tackle economic loss amid coronavirus lockdown. PM Modi was of the opinion that the new RBI measures would greatly enhance liquidity and improve credit supply. PM Modi also mentioned that the new announcements would help our small businesses, MSMEs, farmers and the poor.
Applauding the Reserve Bank for taking bold steps, the Premier took to Twitter and wrote, "Today’s announcements by @RBI will greatly enhance liquidity and improve credit supply. These steps would help our small businesses, MSMEs, farmers and the poor. It will also help all states by increasing WMA limits." RBI Governor Shaktikanta Das Makes Second Round of Announcements of Package Amid Economic Crisis Due to COVID-19 Lockdown; Read Full Text of Statement.
Here's the tweet by PM Modi:
Earlier, RBI Governor Shaktikanta Das announced that Ways and Means advances (WMA) limit of states have been increased by 60 percent for states to plan their borrowing better and added that the limit would be available till Spetember 30. He also announced that the central bank would soon launch targeted longer-term refinancing operations (TLTROs) of Rs 50,000 crore to assist non-banking financial companies (NBFCs) amid the coronavius lockdown.
Apart from this, several other steps, including announcement of Rs 50,000 crore package for microfinance institutions - NABARD, CIDBI, NHB, and slashing the reverse repo rate by 25 basis points to 3.75 percent. RBI also eased asset classification norm saying that for all accounts where deferment or moratorium has been applied. Also, 90-day NPA norm will not apply on moratorium granted on existing loans by banks, said the RBI Governor.
(The above story first appeared on LatestLY on Apr 17, 2020 02:10 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).