Chennai: RBI has mentioned as official projection of NPA to be at 15 per cent by March. The Consortium Of Indian Associations (CIA) is of the view that NPA will touch nearly 30 per cent by March and requests for ‘right corrective steps’ be taken now.
K E Raghunathan, convenor of CIA , maintains that the ‘real truth will get officially exposed once moratorium phase is over and ‘postponed’ NPA norm comes to force by December.’
“The situation is alarming on the ground. The govt must look at supporting nearly 35 per cent of MSME ailing or closing than 17 per cent of MSME doing very well in these times. The demand must be throttled , loans must be rescheduled, OTS must be offered for exit routes, dues must be Urgently settled, GST rate cuts shall be offered to micro enterprises, to enable such suffering MSEs survive and revive,” he said.
According to Raghunathan, the whole financial sector will have huge impact if the NPA raises beyond 22 per cent as per economists and bankers. “CIA requests for course correction, urgently,” he added.