Banks looking to restructure major chunk of Rs 2-trn MSME loans by March

The MSME sector has been reeling from stress for quite some time

With the deadline of March 31 nearing for restructuring micro, small and medium enterprise (MSME) loans under the special dispensation provided by the Reserve Bank of India (RBI), banks are looking to restructure a major chunk of the Rs 2 trillion loans identified under the scheme. 

According to rough estimates suggested to the government by the banks a few months ago, MSME loans of about Rs 2 trillion were identified to be restructured by March 31. According to sources, banks hope to meet at least 70 per cent of this target.

In January 2019, the Reserve Bank of India (RBI)