April 8, 2021 4:12:52 am
The Reserve Bank of India (RBI) extended many relief measures it had introduced last year to combat the economic effects of the pandemic as Covid second wave threatens to swamp the recovery.
For one, the central bank extended the targeted long-term repo operations on tap (TLTRO) scheme by six months to September 30, 2021.
Second, the RBI decided to provide liquidity support of Rs 50,000 crore for fresh lending in 2021-22 to certain financial institutions. It has earmarked Rs 25,000 crore for NABARD, Rs 10,000 crore for NHB and Rs 15,000 crore for SIDBI as refinance facilities to support the continued flow of credit to the real economy. Third, the RBI has incentivised bank lending to sectors such as agriculture, MSME and housing through NBFCs. Banks giving money to NBFCs to on-lend to these sectors were eligible for some benefits till March 31. This has been extended for another six months up to September 30, 2021.
Fourth, the central bank also extended the interim ways and means advances (WMAs) limit of Rs 51,560 crore to state governments till September.
📣 The Indian Express is now on Telegram. Click here to join our channel (@indianexpress) and stay updated with the latest headlines
- The Indian Express website has been rated GREEN for its credibility and trustworthiness by Newsguard, a global service that rates news sources for their journalistic standards.