Way to go

It is important that banks and NBFCs work together in the co-lending domain to ensure economic revival

With the world caught up in an unprecedented health crisis owing to the Covid-19 pandemic, the economic arc is in recession and the government is leaving no stone unturned to wade the nation out of it, as unscathed as possible.  

To revitalise businesses quickly, the government has extended many loan guarantee schemes for micro, small and medium enterprises (MSMEs) and the non-bank financial institutions (NBFCs). The Reserve Bank of India (RBI) has worked in tandem with the government’s efforts and has opened up a window for mutual funds to meet their obligations, which, in turn, has created a positive environment