Concern Sector Lending target due date for Urban Cooperative Banks extended

MUMBAI: Urban cooperative banks (UCB) are getting more regulative relaxations. The Reserve Bank of India (RBI) has actually extended the due date for fulfilling their concern sector loaning (PSL) standards. Those who have actually currently satisfied the targets would be appropriately rewarded. They will likewise be permitted to solve stressed out properties the like business banks are enabled. “With a view to reduce the application challenges dealt with by the UCBs, it has actually been chosen to extend the phase-in time for accomplishment of the targets by 2 years, i.e. upto March 31, 2026” Governor Shaktikanta Das stated in his financial policy declaration on Thursday. “Further, ideal rewards will be offered to UCBs that have actually satisfied the recommended targets as on March 31, 2023″. The PSL targets for UCBs were modified in 2020 in the middle of the background of failure of a big UCB- Punjab and Maharahtra Co-operative Bank, RBI increased their PSL targets from 40% in March 2020 to 75% by March 2024 to enhance the granularity of their loan book. In order to make sure a non-disruptive shift, a slide course was offered till March 31, 2024 to accomplish the modified targets. Comprehensive circular on the matter will be provided independently, Das stated.” Back to re
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