Highlights of the RBI Governor’s press briefing
New Delhi, Mar 27: The Governor of the Reserve Bank of India, Shaktikanta Das during a media briefing announced a host of measures to lift the economy in the wake of the coronavirus outbreak.
From a repo rate cut to allowing banks a moratorium on payment of instalments, Das made several announcements:
Let us take a look at the highlights:
- Repo rate cut by 75 basis points to 4.4 per cent.
- RBI will undertake repo operation of up to Rs 1 lakh crore to infuse liquidity into market
- Cash reserve ratio of all banks reduced by 100 bps to 3 per cent with effect from March 28 for 1 year.
- Rs 3.74 lakh crore liquidity to be injected into system.
- RBI permits all lending institutions to allow 3-month moratorium on payment of instalments on term loans.
- Moratorium on term loan will not classify as default or impact credit history of borrower.
- It was decided to reduce the cash reserve ration of all banks by 100 basis points to 3 per cent on net demand and test liabilities with effect from the fortnight beginning March 28 for a period of one year.