The Reserve Bank of India has extended the loan moratorium by another three months in light of the extended state of lockdown in the country. The extension was announced by RBI governor Shaktikanta Das on Friday. The RBI Governor also announced the slashing of repo rate by 40bps.
The RBI will use all its instruments and fashion new ones to meet Covid-related challenges, RBI governor Shaktikanta Das reiterated.
“Industrial production shrank by close to 17 per cent in March with manufacturing activity down by 21 per cent. The output of core industries contracted by 6.5 per cent,” the governor added.