InvestorQ : How soon are the banks likely to implement the 3-month EMI waiver that has been proposed by the RBI in its monetary policy on Friday?
Niti Shenoi made post

How soon are the banks likely to implement the 3-month EMI waiver that has been proposed by the RBI in its monetary policy on Friday?

Answer
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Archita Jajjoo answered.
6 months ago


The moratorium is already effective with immediate effect and the moratorium by the RBI on loans has come as a whiff of fresh air for borrowers. However, the banks see a lot of practical hurdles in this move. For example, every borrower will have to go through specific documentation to activate the moratorium on loan EMIs for 3 months. This is a manpower intensive task and most banks are worried that they would not be able to undertake this additional activity. Currently most banks are operating with only 20-25% of their staff reporting for duty. Every bank will have to take approval from their board then each case will have to be approved on a case-by-case basis. Banks find themselves short of time and manpower resources. And the manpower situation is unlikely to improve in the near future as the shutdown is likely to continue for another 21 days.