MUMBAI : Indian lenders, which have been focusing on retail loans for several years, could now start extending corporate credit, at least in the near term, as the economy tries to recover from the covid-19 shock, experts said.
Companies will need working capital to tide over the after-effects of the disruption when they start production after the lockdown, said the experts.
Demand for capital expenditure is not expected to revive anytime soon, but working capital loans will still be needed, they said.
Retail loans are not expected to pick up immediately as consumer demand could a take a while to overcome the covid-19 effect, said Pallav Mohapatra, chief executive of Central Bank of India. “If new properties do not come up for sale for some