Microfinance Industry Groups Seek PM Modi’s Help to Secure Repayment Moratoriums on Term Loans

Source: The Economic Times

Microfinance industry groups such as Sa-dhan, India's largest microfinance industry body with 212 members, and Microfinance Institutions Network (MFIN), the industry grouping for NBFC-MFIs have sought PM Narendra Modi’s help to secure repayment moratoriums on term loans, having failed earlier to convince their lenders to give them a grace period.

They said that a couple of smaller MFIs have already defaulted their loan repayments last week, while others are facing a liquidity squeeze, since most banks and financial institutions have refrained from extending the moratorium benefit despite Reserve Bank of India's advisory on the issue.