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RBI board member writes to PM Modi; suggests rescheduling loan accounts

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NEW DELHI : Reserve Bank Director Satish Marathe on Thursday urged Prime Minister Narendra Modi that all banks should be asked to reschedule loan accounts to help industry, especially MSMEs, to deal with the impact of coronavirus pandemic. "These are exceptional times and the need is to take exceptional steps," Marathe said in his letter to the Prime Minister.

Merely by injecting Liquidity, reducing interest rates, providing guarantees through SPVs/SIDBI, relaxing delinquency norms in the current year will not result in revival of Indian Economy, he said, while referring to the recent measures announced by the government and RBI to mitigate the impact of the pandemic. "We need to seek active involvement of our banking sector to rebuild the

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