Covid-19 impact: Banks raise concern over fresh NPAs of Rs 50K crore

The banks are expected to start credit operations from April 20, in a bid to help a staggered restart of the economic activities

Public sector banks (PSBs) on Thursday flagged concerns to the Union government over loans worth over Rs 50,000 crore turning into non-performing assets (NPAs) for March, as the Reserve Bank of India (RBI) rejected a request for standstill in the asset classification.
 

The bankers also asked the government to seek official clarity from the RBI on whether the moratorium on loans, announced by the RBI as part of a relief package to deal with the Covid-19 impact, will be extended to non-banking financial companies (NBFCs).
 

Importantly, the banks are expected to start credit operations from April 20, to help a