A Big Relief to the Loan Payers | Loans, EMIs, & Interests to Get Cheaper – News Update
An appealing move for the EMI/Loan payers of our country as the government reduces the repo rate by 40 basis points (bps) or 0.4% – from 4.4 to 4 percent.
It comes after Reserve Bank of India (RBI) Governor Shaktikanta Das addressed the nation today and announced these changes along with other crucial moves RBI is taking to balance the economy of the country. And also to lower the financial stress of the citizens that waved due to coronavirus pandemic.
The quick takeaways you should know about this news:
- Reserve Bank of India also enhanced the moratorium period by another three months till August 31 – which means the borrowers or the EMI payers can now hold back the EMIs against term loans for the next three months. The banks cannot force to pay the same.
- After the repo rate adjustment to 4% – the deposit or reverse repo rate is now naturally shifted to 3.35% from 3.75%.
- Reserve Bank of India thinks that the rate of inflation may decline to its limit of 4% by the third & fourth quarters, i.e., Q3 & Q4.
- Reserve Bank of India expects that the Gross Domestic Product (GDP) growth rate will sustain in the adverse category for some more time.
- Reserve Bank of India gave a 15,000 crore line of credit to EXIM Bank.