Banks may restructure loans worth more than Rs 10 trn to 5-6 key sectors

Banks may restructure loans of more than Rs 10 trillion largely attributed to 5-6 critical sectors, including aviation, commercial real estate and hospitality, that have been severely hit by the Covid-19 outbreak, according to bankers.

Finance Minister Nirmala Sitharaman last week asked banks and NBFCs to roll out one-time loan restructuring scheme for Covid-19 related stress by September 15.

According to a top official of a public sector bank, it is win-win for both lenders and borrowers.

Explaining the rationale, the banker said, corporateswill try to save their business from turning non-performing asset (NPA) and buy crucial time for getting