RBI, coronavirus, coronavirus pandemic, fight against covid-19 crisis, borrowing limit extended, WMA limits, realization period for export proceeds The central bank on Wednesday announced steps to help states cope with the fallout of the covid-19 pandemic, including allowing a higher borrowing limit.
This also acknowledges the states’ frontline role in mitigating the impact of the pandemic. The Reserve Bank of India (RBI) has increased the borrowing limit of all states and Union territories under the ways and means advances (WMA) facility to help them overcome the mismatch between revenue and expenditure flows because of the unprecedented 21-day nationwide lockdown.