PSBs demand easier norms on MSME loan restructuring

New Delhi, 8 Jan (KNN)\ The public sector banks have urged the Finance Minister Nirmala Sitharaman to make the norms easier from RBI for relaxation on loan-restructuring guidelines for MSMEs. 

The central bank has been notified by the central government about this demand. 

To extend the end date for the covid hit companies to meet the ratios prescribed by the K V Kamath-led committee has also been suggested by the bankers. 

Speaking during the meeting with chiefs of pubic sector banks, the finance minister highlighted the successful implementation of ECGLS by state-run lenders. 

However she is pressed on the aspect of not to stay with this satisfaction and push other government schemes and credit flow.

She also asked bankers to brace the sector from the uncertain third wave as there is a sharp rise in case count in India, resulting in restrictions across several states. 

According to media reports, it is stated that the banks have warned the government of the impact the lockdown will create on the economy, although the lenders are already working on business continuity plans.