Kanimozhi writes to Sitharaman to consider waving interest on loans taken by women SHGs for moratorium period

New Delhi [India], June 25 (ANI): DMK MP Kanimozhi Karunanidhi wrote to Union Finance Minister over the COVID-19 Regulatory Package by the Reserve Bank of India (RBI), requesting her to consider waiving the interest amount on loans taken by women self-help groups (SHGs) for moratorium period by commercial banks, cooperative banks, all-India Financial Institutions and NBFCs.
The DMK leader, through the letter, also said that she had received several representations “from the members of SHGs for women that few banks, micro finance institutions coercing members to pay their debts with interest despite the RBI giving a six-month moratorium on repayment of loans.”
She said that this has been happening, despite the RBI circular which directed repayment schedule of installments and all subsequent due dates, as also the tenor for such loans, maybe shifted across the board by six months between March 1, 2020, to August 31, 2020.”
Therefore, she posed a request to the Finance Minister to ensure “people are not coerced for repayment of loans.”
The RBI had announced a moratorium on loan EMIs till August 31, 2020 as a measure to help people whose jobs, businesses were affected due to the COVID-19 pandemic and the resulting lockdown which was enforced to prevent its spread. (ANI)