NBFCs may fall by the wayside without a major forbearance package

Even after the Reserve Bank of India 'permitted' banks to offer a three-month moratorium to borrowers (of all hues), NBFCs continue to run from regulatory pillar to post to avail of it

“We don’t work in a united manner in most cases,” says Sunil Kanoria, vice-chairman of Srei Infrastructure Finance. For all the networkers non-banking financial companies (NBFCs) have in their midst, the trade does not have a lobby group. “This shortcoming”, Kanoria concedes, “has been most exposed after the breakout of the Covid-19 pandemic” — NBFCs have little to show in terms of regulatory forbearance going their way (it is another matter that a lobby group may not have scored bigger).

Both the Rs 50,000-crore corpus have been earmarked under the targeted long-term repo operations-2 (TLTRO) with 50 per cent earmarked for