Coronavirus impact: Banks seeks RBI's nod to offer relief to borrowers

Moratorium on loans should be offered, say CFOs

As corporate cash flows feel the impact because of the coronavirus (COVID-19) pandemic, Indian lenders are seeking Reserve Bank of India’s nod to offer relief to borrowers, and not classify the affected sectors as bad loans in the March quarter.

State Bank of India Chairman Rajnish Kumar said banks were assessing sectors such as aviation, tourism, small transport operators that will be negatively impacted because of COVID-19. “There will some effect on the economy,” said he.

According to a source, banks are ready to offer easier credit to small and medium-sized companies that would face maximum pressure in the current