Industry Body ASSOCHAM, CII and FICCI have welcomed the RBI’s decision of rate cut. In a statement, ASSOCHAM Secretary General Deepak Sood said that the RBI has been doing a lot of heavy lifting and making great efforts to infuse liquidity into the economy that has suffered an unprecedented crisis due to COVID-19. He said, reduction in interest rates are a great relief and the move to convert the interest under moratorium into term loans should ease the immediate stress of repayments.

Director General, CII  Chandrajit Banerjee said that it is encouraging to note that RBI decided to cut repo rate by 40 basis points in order to provide the necessary impetus to growth which is expected to turn negative this fiscal. He said, together with the slew of measures announced to alleviate the stress in financial markets, foreign trade and State Government borrowings, it is heartening to note that the Central Bank once again proactively intervened with a bouquet of prudent steps. He said, the RBI should be congratulated on the move to extend the loan moratorium by another three months.

FICCI Secretary General, Dilip Chenoy termed the RBI Governor’s announcements as a welcome step. He said, this will further help the industry and entire economy.