The Union Government told the Supreme court on Tuesday that the moratorium period for repayment of loans is capable of being extended upto two years as per RBI . Solicitor General Tushar Mehta, on behalf of the Centre and Reserve Bank of India (RBI), informed the Supreme Court bench of Justice Ashok Bhushan that the moratorium on repayment of loans is “extendable for 2 years”. It may be noted that the loan moratorium on EMI and fixed term loans ended on August 31, 2020.
The apex court on 26 August had lashed out at the Central government for not filing the affidavit in time with respect to the government’s decision on whether interest can be waived or, whether it can stop charging interest on interest accrued during moratorium period.
