Thread by @_ritusingh

#RBIActs
*Repo Rate cut by 75 bps to 4.40%
*Reverse Repo Rate cut by 90 bps to 4%
*MPC to continue with accomodative stance
*Shaktikanta Das, R Dholakia, Janak Raj, Michael Patra voted for 75 bps cut; Chetan Ghate, Pami Dua for 50 bps cut
*No inflation, growth projection given

#RBIActs
*All lending institutions permitted to allow a moratorium of 3 months on payment of instalments for all term loans outstanding as on March 1, 2020
*Repayment schedule, all subsequent due dates, as also the tenor for such loans may be shifted across the board by 3 months

#RBIActs
*All lending institutions permitted to allow a deferment of 3 months on payment of interest in respect of all working capital facilities outstanding as on March 1, 2020
*The accumulated interest for the period will have be paid after the expiry of the deferment period

#RBIActs
*Moratorium/deferment is being provided specifically to enable borrowers to tide over the economic fallout from COVID-19
*Moratorium/deferment will not be treated as change in terms and conditions of loan agreements and will not result in asset classification downgrade

#RBIActs
*Lending institutions may accordingly put in place a Board approved policy in this regard
*For Working Capital: All lending institutions may recalculate drawing power by reducing margins and/or by reassessing the working capital cycle for borrowers

#RBIActs
*Such changes in credit terms permitted to the borrowers to specifically tide over the economic fallout from COVID-19 will not be treated as concessions & will not result in asset classification downgrade
*Rescheduling of payments will not qualify as a default

#RBIActs
*For all Working Capital loans- the accumulated interest has to be paid at the end of moratorium
*For all Term Loans- repayment schedule and all subsequent due dates will be shifted across the board by 3 months