Moratorium case: SC directive to benefit small, mid-sized accounts

The immediate beneficiaries of Supreme Court's directive not to tag defaulting borrowers as non-performing assets (NPAs) until the case is disposed of will be accounts whose payments were overdue for 31-90 days. However, the banks would be obliged to make provisions for such stressed accounts due to market sentiment.
 

Bankers said special mention accounts (SMA)- overdue period between 31 to 60 days (SMA1) and overdue period between 61 to 90 days (SMA2) would have become NPAs in August and September 2020. Now they will be saved from NPA tagging at least till the Supreme Court, which is hearing the petition