NRB mulls over extending moratorium on loan recovery

nrb-mulls-over-extending-moratorium-on-loan-recovery

, April 14

Rastra Bank is preparing to introduce a second phase relief package targeting businesses and individuals impacted by the .

The central bank had introduced a few measures two weeks ago aimed at offering relaxation on and the public hit by the coronavirus pandemic. However, as businesses are completely shut since almost one month and it is still uncertain how the coronavirus pandemic will evolve, the central bank is working on a second phase of relief package, especially targeting businesses hit by the pandemic.

Owing to the fear of coronavirus spreading and the subsequent nationwide lockdown, all businesses across the country have been shut since March 24 when the lockdown was enforced.

Though had introduced a few relief measures, the private sector and experts have been saying that the measures are inadequate. They have suggested that the government bring a ‘heterogeneous’ relief package that intends to upscale the .

Talking to The Himalayan Times, NRB Governor Maha Prasad Adhikari said the nature of the second phase of relief package would depend on the recommendations of a study committee that NRB had formed to assess the impact of the coronavirus  on different sectors and the entire economy.

“NRB is serious about mitigating the impact of the pandemic on businesses. As a study committee is carrying out an assessment, NRB’s future steps will be based on the recommendations and findings of the committee,” said Adhikari.

However, high-level officials at the central bank revealed that the upcoming relief package from NRB would basically be inclined towards further relaxations on repayment of loans for businesses and the public.

NRB has already deferred the collection of monthly or quarterly instalments (that were to be collected by midApril) from borrowers till mid-July.

The provision is applicable to all borrowers, including credit card holders. “However, as the l


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