Loans under moratorium to dip below 10% by August end, says IDFC First

Private lender posted profit before tax of Rs 127.54 crore in the quarter ended June 2020 (Q1Fy21)

IDFC First Bank expects loans under moratorium to fall below 10 per cent of its books by August from 28 per cent now, said the private lender on Wednesday.

The bank liberally gave moratorium, which in the last quarter formed 45 per cent of the books, and it is now seeing strong improvement in collections, said V Vaidyanathan, Managing Director and chief executive officer.

IDFC eased it loan repayment terms after the Reserve Bank of India announced in a second moratorium till end of August. The first moratorium was between March and May.

IDFC, for the second phase, provided moratorium to about 28