Business
This is what I've learned. Please do your research before deciding on anything. I am a noob as you are. This is just me documenting what I am learning. n March 2020, the Reserve Bank of India had announced a moratorium on the repayment of all term loans for both businesses and households, to ease their burden during the period of the lockdown. Initially, it was allowed for 3 months but then extended till August. “Data from the RBI’s latest financial stability report shows that at the end of April around half of the customers of scheduled commercial banks, accounting for half of the outstanding bank loans, opted to avail of the relief measures extended — underlining the precariousness of their financial position.” – Quoting what is written by The Indian Express As economic growth is slowing down, it is adversely affecting NPA (Non-Performing Assets). Anyway, it was on the downfall even before the COVID-19 situation hit. The sector is being hit bad and a few banks will be under the required capital requirements and thus will have to raise capital. (Back to start-up phase I guess) However, the moratorium period might be extended by the RBI or a one-time restructuring of loans will opt for the stressed sectors. To conclude, the financial sector is suffering and this is slowing down the economic recovery. This is what I have learned. Feel free to add comments. Cheers! Follow me on Instagram: https://www.instagram.com/avisheksjou... Catch the podcast on Spotify: https://open.spotify.com/show/78VaTOe...