The economy has taken a great set back all over in this harsh time of Covid-19 now when the people have a great cash crunch they are looking for relief.
Amid uncertainty over loan repayment moratorium scheme that ended in August , the Centre government and RBI told the Supreme Court on Tuesday that it was capable of being extended by 2 years in view of COVID-19 pandemic.
On behalf of the Centre and RBI, Mehta said that a fresh affidavit has been filed in the top court on the issue. “We are in the process of identifying the distressed sectors to vary benefits as per the impact of hit they have taken,” he said.
“Please let the Centre, RBI and Bankers Association put their heads together,” Mehta said
Noting that the economy has contracted by 23 per cent due to COVID19, he said several steps had been taken for stressed sectors.
The top court — which is seized of petitions demanding waiver of interest, or waiver of interest on interest on the suspended EMIs during moratorium — had earlier commented that there was no point in charging interest on interest.
Maintaining that the matter can’t delay any further, the Bench posted it for further hearing on Wednesday.