According to the reports, the government has said that it will support textile units facing hard times and not put pressure on the banks. The finance ministry has made an assessment of the impact of debt restructuring for textile units on the public sector banks.
The finance and textile ministries has taken a decision on restructuring loans worth Rs35,000 crore of the total outstanding debt of Rs1,55,809 crore. According to CDR cell data, 59 textile units with debt worth Rs11,661 crore have been given the CDR package.
The finance ministry will consult RBI for giving a two-year moratorium repayment and convert working capital loans into term loans with three-five year repayment period. The government is also mulling a special provision in non-performing assets norms to avoid asset reclassification for these loans.
....more info
The finance and textile ministries has taken a decision on restructuring loans worth Rs35,000 crore of the total outstanding debt of Rs1,55,809 crore. According to CDR cell data, 59 textile units with debt worth Rs11,661 crore have been given the CDR package.
The finance ministry will consult RBI for giving a two-year moratorium repayment and convert working capital loans into term loans with three-five year repayment period. The government is also mulling a special provision in non-performing assets norms to avoid asset reclassification for these loans.
....more info