FM Sitharaman to hold review meeting with lenders on loan recast scheme

Most state-owned bank execs expect 5-7% of their loan books will require restructuring

Finance Minister Nirmala Sitharaman will hold a review meeting with the financial sector on September 3 to review their preparedness of the loan restructuring scheme to provide relief to borrowers impacted by the Covid-19 pandemic.

The finance ministry said in a statement on Sunday that the FM will “review with the top management of scheduled commercial banks and NBFCs [non-banking financial companies] the implementation of the resolution framework for Covid-19 related stress in bank loans.”

It added that the focus of the meeting will be on “enabling businesses and households to avail of the revival framework on the basis of