Overdues since Jan be not classified as NPA: Mehta

In a separate mail sent to Indian Cooperative Nafcub President Jyotindra Mehta writes that because of the possibility of the spread of the Corona virus in our country, there is a slow-down in all types of business activities.

This has caused a significant recessionary gap in the economy. This has affected the recovery of loan granted by Urban Co-op Banks, he added.

“We have therefore requested RBI DCBR CO Mumbai that UCBs may be allowed, not to consider overdue generated from January 2020 onwards while classifying NPA as on 31 March 2020 and making provision on balance sheet date”, Mehta says.

Earlier, Nafcub President wrote a letter to RBI demanding change in NPA norm from 90 to 180 days.

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