Bank lending targets under Rs 20-trn stimulus unfeasible: Ex-RBI deputy guv

There are other segments of the economy as well which are in need of credit, says R Gandhi

Former RBI Deputy Governor R Gandhi has expressed doubt over the efficacy of the government's stimulus package, terming the aim of Rs 7.9 trillion-uptick in lending to small businesses, agriculture and power discoms as not "feasible".

Speaking at a webinar hosted by payment system company Electronic Payments and Services, Gandhi said that the RBI needs to re-introduce a one-time restructuring package and mere moratoriums will not suffice in unprecedented times like the Covid-19 pandemic, news agency PTI reported.

As part of the over Rs 20 trillion package announced by Prime Minister Narendra Modi, Rs 3 trillion was devoted to collateral-free