According to the Modi government's finance ministry, the government will pay a loan of up to Tk 2 crore for six months, equal to the difference between the interest on the combined interest rate and the interest rate on the general interest rate. Due to the Covid-19 crisis, the Reserve Bank of India (RBI) made an announcement to extend the repayment period. The Finance Ministry has given these instructions as per that announcement.
The Supreme Court of India has directed the Center to implement the scheme of waiver of interest on loans up to Rs 2 crore as soon as possible under a stay order issued by the RBI. Then came this guideline.
According to this guideline, the borrower will be able to take this project into the loan account. This facility is available from March 22, 2020 to August 31, 2020. By February 29, 2020, the total debt will not exceed Rs 2 crore, they will be eligible to take up the project.
In addition, banks and financial institutions will differentiate between interest and general interest over interest when suspending loan accounts of eligible borrowers. This is for all eligible lenders who have availed the waiver granted by the RBI for full or partial loan waiver under this scheme announced on March 26, March 22.
The financial institutions will demand from the central government to repay the money by keeping it in the account of the concerned borrower. The project will cost the exchequer Tk 6,500 crore.